In a report released today, Krish Sankar from TD Cowen reiterated a Buy rating on Cohu, with a price target of $60.00.
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Krish Sankar has given his Buy rating due to a combination of factors, including Cohu’s expanding exposure to high‑performance computing and advanced memory testing. He highlights that orders for Eclipse thermal handlers and related HPC systems are ramping rapidly, with management now targeting a significantly larger revenue opportunity by 2026, which supports raising the price target to $60.
Sankar also points to growing high‑bandwidth memory inspection demand, rising recurring revenue, and improving utilization rates at key semiconductor customers as drivers of sustainable earnings leverage. While he notes the richer valuation and higher operating expenses tied to capacity investments, he believes accelerating sales growth and AI‑driven test intensity should more than offset these headwinds, justifying a continued Buy stance on the shares.
According to TipRanks, Sankar is a top 25 analyst with an average return of 49.2% and a 68.94% success rate. Sankar covers the Technology sector, focusing on stocks such as Cohu, Formfactor, and KLA.