Piper Jaffray Overweight On IPG Photonics

Piper Jaffray has an Overweight rating and a $83 price target on shares of IPG Photonics IPGP. In a note to clients, Piper Jaffray writes, "Industry consultants at LASER World of Photonics in Munich, Germany predicted the global laser system market would reach €6.5B or ~$9.1B in 2011. Well ahead of our bullish case ($9B by 2012) previously laid out (Exhibit 1). The prediction highlighted increased adoption in Asia as manufacturers in the region increasingly opt for lasers rather than traditional machine tools. The report provides further evidence of the secular nature of the global trend toward increased industrial automation and laser material processing. We continue to highlight Overweight rated IPG Photonics (IPGP) and Rofin-Sinar (RSTI) as our favorite plays on expanding global industrial laser use." Shares of IPGP gained $4.07 yesterday to close at $74.51, a gain of nearly 6%.