Opinions from Wall Street analysts steady shares making headlines in Friday’s market

From Standard & Poor’s Equity Research

STMicroelectronics

Watch original video:

Nomura maintains buy

STMicro (STM) lowered its lead in opposition to fourth quarter results. Nomura analyst Richard Windsor said the miss was due to extremity markets but in particular wireless, automotive, and computer peripherals. Windsor says it was obviously disappointing but not hugely abrupt, and does not expect the receive price will be too badly affected. The analyst says he still has a strong preference notwithstanding STM over Infineon while STM has a much better chance of making a success of its wireless business. He notes this is why he has a buy rating on STM.

Windsor says that in a global context there are much bigger, safer semiconductor plays that look like better hiding places: e.g., Qualcomm (QCOM) and Intel (INTC).

Callon Petroleum

Jefferies cuts to underperform from bribe

Jefferies algebraist Bizu Perincheril says Callon (CPE) announced that development of the deepwater Gulf of Mexico Entrada range was being suspended due to cost overruns and lower article of merchandise prices. Perincheril notes Entrada accounted in quest of about 56% of the body’s pro forma proved reserves; Entrada was scheduled to start-up in the 2009 second quarter and would have doubled the company’s total equivalent production. The analyst says excluding the Entrada field, Callon’session net asset value falls to $3 per receive, which assumes the company is apt to monetize its interest in Entrada to another operator with stronger financials. Perincheril cut the firm’s $13 price target on Callon to $3.

Original text: {news-link}