Analyst Kevin Dede of H.C. Wainwright maintained a Buy rating on Kopin (KOPN – Research Report), with a price target of $3.00.
Kevin Dede has given his Buy rating due to a combination of factors. Firstly, Kopin’s impressive September quarter revenues, which reached $10.6M, exceeding the estimated $9.0M, was a significant factor in this rating. The surpassing of the estimated revenue was mainly due to a multi-million dollar development project contract that was recognized within the quarter. The company’s new principled manufacturing process, which emphasizes quality and customer specifications, has reduced returns and improved gross margin. This change in manufacturing process has resulted in a cash product margin of $7.9M in the first nine months of the year, a 150% increase from the previous year.
Secondly, Kopin’s backlog has continuously improved, recording the fourth sequential quarter of a book-to-bill north of two. Large orders such as the $12.8M FWS-I follow-on order and the $3.4M F-35 follow-on have contributed to this expansion. It’s anticipated that the following year will witness a surge in sales growth, with sales estimates for 2024 standing at $45M, a 16% increase from FY23 estimate. Furthermore, Kopin’s development of a novel “Neurodisplay” product, designed to address AR/VR-induced user nausea, is another factor for Dede’s Buy rating. This product, expected to become available next year, is being viewed as a groundbreaking technological accomplishment.
Dede covers the Technology sector, focusing on stocks such as Kopin, Marathon Digital Holdings, and Bit Digital. According to TipRanks, Dede has an average return of -8.2% and a 33.13% success rate on recommended stocks.
See Insiders’ Hot Stocks on TipRanks >>
TipRanks tracks over 100,000 company insiders, identifying the select few who excel in timing their transactions. By upgrading to TipRanks Premium, you will gain access to this exclusive data and discover crucial insights to guide your investment decisions. Begin your TipRanks Premium journey today.
Kopin (KOPN) Company Description:
Kopin Corp. engages in the development manufacture, and sale of wearable technologies which include components and systems. Its portfolio includes display, ASIC, ergonomics, optics, whisper voice interface, software, packaging, and OLED displays. The firm uses semiconductor material technology to design, manufacture and market its component products for use in military, enterprise and consumer electronic applications, training and simulation equipment and 3D metrology equipment. The company was founded by John C.C. Fan on April 23, 1984 and is headquartered in Westborough, MA.
Read More on KOPN:
