S&P KEEPS HOLD RECOMMENDATION ON SHARES OF PHOTRONICS INC.
Since the release of Apr-Q results, the FY 12 (Oct.) consensus EPS forecast from Capital IQ has fallen to $0.55 from our previously published $0.57 estimate, but FY 13's remains at $0.82. We are encouraged by growth for high-end semiconductor photomasks. Aslo, we see greater penetration for flat panel display photomasks at G8 and above as well as for AMOLED (active matrix organic light emitting diodes) technology. We view positively, PLAB's leaner and more flexible business model. We keep our target price at $7.50, on a price-to-sales metric below peers but above historical.