Piper Jaffray Notes "Compelling Entry Point" for Veeco (VECO)

After a large sell-off of shares of Veeco Instruments, Inc. VECO, analysts at Piper Jaffray say that the jitters that prompted it are no reason to get out of the stock. In fact, they "believe the sell-off has created a compelling entry point." VECO sold off because investors feared that Samsung was making its own MOCVD product. Piper's analysts concede that Samsung — as well as LG — are probably working on their own equipment, but that it is highly unlikely that either will go into production in the next five years. Consequently, they believe the investor fears that prompted yesterday's sell-off are overstated. Despite the news that Veeco may face new competition, any real impact will be years away given the inherent difficulties and nuances of LED manufacturing. Piper's risks to VECO price target

• Diminished consumer consumption due to economy
• Reduced "government mandates for LED and solar"
• Increase in competition