Citi Maintains Hold on Novellus Systems

Citi is out with its report today on Novellus Systems NVLS, maintaining Hold. In its report, Citi writes, "We rate the shares of NVLS Hold/High Risk (2H). We have taken a negative view of semiconductor capital equipment stocks given semiconductor fundamentals begin to slow in 1H:11 as supply accelerates and demand slows leading to risk of inventory building and orders correction after several qtrs of ramp." Citi maintains a $40 PT on NVLS. Shares of NVLS closed Monday at $28.47.