XP Power (LON:XPP) - Vertical integration strategy on track
Jul 23rd 2012 - Edison Investment Research today published a report on XP Power (XPP.L, LSE:XPP, LON:XPP) entitled "Vertical Integration Strategy On Track". In summary, the report says:
Despite a weak market environment, XP Power (XP) continues to deliver on its in-house manufacturing strategy and is seeing good design win activity. As expected, weaker orders in H211 have affected H112 numbers, and we trim our FY12 and FY13 forecasts to reflect continued weak market conditions. Despite this, we expect XP will still generate 20%+ operating margins and strong cash flows. In our view, the current valuation does not adequately reflect XP’s strong profitability.
Edison Investment Research is a leading international investment research company. It has won industry recognition, with awards both in the UK and internationally. The team of 95 includes over 60 analysts supported by a department of supervisory analysts, editors and assistants. Edison writes on more than 400 companies across every sector and works directly with corporates, fund managers, investment banks, brokers and other advisers. Edison’s research is read by institutional investors, alternative funds and wealth managers in more than 100 countries. Edison, founded in 2003, has offices in London, New York and Sydney and is authorised and regulated by the Financial Services Authority (www.fsa.gov.uk/register/firmBasicDetails.do?sid=181584). more »
