Brooks Automation Beats, Citi Maintains Sell (BRKS)

Brooks Automation (BRKS) reported EPS of $0.26, above the Street at $0.19. Citi said, "While BRKS is doing a nice job on the operating margin line (record OpM on much lower revs) due to much tighter opex control, the lack of “pizzazz” in this story makes it still tough to get excited here especially considering what looks like peaking fab utilization rates in CQ3. Our F2010 estimate goes to $0.90 from $0.60 on increased booking and gross margin improvement, and F2011 revs/EPS go from $619MM/$0.80 to $703MM/$0.99. We are cutting our F2012 EPS from $0.91 to $0.21 given our cycle view." Brooks Automation is rated Sell with a price target of $7. Shares are currently trading at $8.16.