Banc of America upgraded QLogic (QLGC) to buy from market perform.
Analyst Shaw Wu says QLogic was the only one among its peer group that had sequential growth (3%) last quarter. He says good discipline and a diverse product mix helped it to weather the storm. He upgraded the company on signs of good product momentum, and the fact that Sun Microsystems is ramping up on switches (Sun is QLogic's OEM for switches), and Cisco is entering the storage network market (Cisco's router uses QLogic's products.). He notes QLogic's valuation is cheap compared to others in his universe. Still, Wu cut thet $1.15 fiscal 2002 (March) EPS estimate to $1.05 to reflect Legacy business decline. He has a $55 target.