Bank of America Merrill Lynch Maintains Underperform on Cree

Bank of America Merrill Lynch is out with its report today on Cree CREE, maintaining Underperform. In its report, Bank of America Merrill Lynch writes, "The company is reorienting from chips to highervalue components and fixtures. Superior technology and lower cost of ownership suggest that LED adoption will occur as the world moves away from incandescent lighting. Although we deem LED adoption as a secular trend, we are concerned with the recent pause in demand growth/inventory build and wait for a better opportunity to become more constructive." Bank of America Merrill Lynch maintains a $33 PO on CREE. At the time of posting, shares of CREE were trading pre-market at $28.70, up 1.34% from Monday's close.