LSI Corporation (NYSE:LSI)

CAPS Rating: 3 out of 5

Designs, develops and markets semiconductors and storage systems. The Company's operating segments are the Semiconductor segment and the Storage Systems segment.

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Player Avatar singalls11747 (40.03) Submitted: 6/7/2010 5:18:35 PM : Outperform Start Price: $4.93 LSI Score: +14.83

LSI is finally showing significant revenue growth and improvement in the gross margins. I expect them to show revenue for 2010 of $2.7b and a gross margin of 47% based on an expectation of a modest 5% growth for the final two quarters. This should result in GAAP earnings of $.15/sh and non-GAAP earnings of over $.60/sh. At a 20 multiple, the stock should be trading at $12.00 by the 1st half of 2011.

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