Nanometrics "buy," estimates reduced

05/31/05 - WR Hambrecht & Co

NEW YORK, May 31 (newratings.com) - Analysts at WR Hambrecht reiterate their "buy" rating on Nanometrics Inc (NANO), while reducing their estimates for the company. The 12-month target price is set to $21.

In a research note published this morning, the analysts mention that the company is likely to increase its SG&A expenditures in Q2 in order to rectify the weaknesses in its internal control. Nanometrics' OEM relationships are strengthening, the analysts say. The EPS estimates for 2005 and 2006 have been reduced from $0.84 to $0.77 and from $1.10 to $1.05, respectively.