Two companies, KLA-Tencor and Dr Pepper Snapple, are seeing their shares moving at levels not reached in years — apparently, for different reasons.
Analysts Patrick Ho of Stifel Nicolaus and David Silver of Wall Street Strategies offered their market intelligence.
Ho pointed to KLA-Tencor's "lack of direction" as a concern, as well as inventory saturation:
"Investors are wondering where the company can go from here," Ho mused.
Is it an indication of trouble in the sector as a whole? No, he believes: "The overall chip environment remains relatively healthy."
- KLA-Tencor shares now:
The beverage sector, on the other hand, seems to be lifting all boats — especially Dr Pepper Snapple.
"They're really growing," said Silver. "They're seeing strong volumes and they're coming off a much smaller base than Pepsi or Coke. It's really only [penetrated] the North American markets right now. They're really growing a lot in Latin America."
"And they're seeing growth in the U.S. — which Coke and Pepsi aren't — for carbonated drinks."
He has "buy" ratings on all three companies.
Silver's Price Targets:
Dr Pepper Snapple $36
CNBC Data Pages:
KLA-Tencor has been a client of Ho's employer Stifel Nicolaus within the past 12 months.
Disclosure information was not available for Silver or his company.