NEW YORK, February 22 (FinanceEnquiry.com) - Analysts at Deutsche Bank Securities reiterate their Buy rating on the shares of Avago Technologies (NASDAQ: AVGO). The 12-month target price is set to $38.
 
In a research note published yesterday, the analysts mention that AVGO will report F1Q12 (Jan) results after the market close on February 22. AVGO’s F1Q12 revenues/PF EPS estimates are modeled at $550 million/ $0.58, relative to the Street of $552 million/ $0.57. The revenue is expected to plunge due to weakness throughout the target markets with wireless (estimates -15% q/q), Wired (-10% q/q), Industrial/Automotive (-7% q/q) and Consumer (-20% q/q), all pointing downtrend. The analysts indicate that the guided revenue comprises a negative $15 million impact from the Thailand flood, which signifies a 10-12% q/q reduction discounting this impact. Deutsche Bank projects GM at 50.5%, less 70 bps q/q, and OpEx at $125 million, marginally below q/q.