January 5, 2012 | 7 Pages
Semiconductors Company Report
RF Micro Devices Inc.
(NNM: RFMD)
RFMD - PREANNOUNCES WEAK DECQ ON CHINA, SHOULD RATING: BUY
RESET THE BAR, STILL WELL POSITIONED, LOWER Vijay Rakesh Mark Kelley
ESTIMATES & PT (312) 525-8431 (312) 525-8430
vrakesh@sterneagee.com markk@sterneagee.com
RFMD preannounced a weaker December quarter lowering
guidance from prior $250M consensus to $225M. We believe
top line is impacted by China and also Polaris3 at Nokia. We Fiscal Year Ends Mar
believe RFMD is impacted by near-term weakness in China and
platform changeovers at Nokia. While the weakness in 2G China Rating: Buy
was well advertised, the magnitude of the GM impact was a Price: Close $5.64
surprise reflected in the stock pullback in after hours. But we Price Target: $9.00
believe given some of the one-time nature of the GM impact, 52-wk Range: $4.95-$8.48
margins should rebound. We continue to like RFMD as it has Market Capitalization (M): $1,520
the best portfolio of design wins with 1) Phenom into QCOM Shares Outstanding (M): 282.7
platforms, RIMM and HTC, 2) Powersmart into Samsung and on Avg. Daily Vol. (000): 6,893
to STEric platforms, despite the near-term hiccup. We would be Dividend Yield: NA
Buyers on the Pullback as the Preannouncement Resets the Debt/Total cap: 8%
Bar with concerns on the China Weakness – and RFMD EPS Growth Rate: 10.0%
continues to ramp on multiple platforms. L-T Organic Revenue Growth: 15.0%
Gross Margins: RFMD also lowered gross margins 900bps q/q. Short Interest: 9.7%
We believe 600bps of this is from fab utilizations impacted from Book Value/Share: $2.45
lower top line due to China and NOK-Polaris3. Another 300bps
is one-time inventory reserves/write-downs. We should therefore
see some of the one-time GM impact and some demand from
China rebound into the March quarter.
New Product Ramps Position well into C2012: GMs should Earnings Summary
potentially rebound 500-600bps with fab utilization and no-1x FYE Mar 2012E 2013E 2014E
write-downs. RFMD’s 3G revenues are growing 16% q/q into
C4Q11. We believe after a 10-year hiatus, RFMD is now starting EPS & P/E Summary
to broaden its relationship with QCOM and is now qualified with 2012 2013 2014
EPS: 2012E Prior 2013E Prior 2014E Prior
Phenom on Gen1-Gen4 Snapdragon-Krait (S1-S4). We believe
Q1 $0.08A $0.08A $0.14 $0.15 $0.19 $0.20
RFMD has recently gained wins with QCOM's next-gen
Q2 $0.11A $0.11A $0.16 $0.17 $0.21 $0.23
Snapdragon S4 platform. RFMD on its earnings call had already
Q3 $0.06 $0.13 $0.18 $0.20 $0.25 $0.27
announced wins on low-end 3G S1 platforms at QCOM.
Q4 $0.10 $0.14 $0.17 $0.18 $0.24 $0.26
Samsung just announced a big December quarter with Galaxy
Full Year $0.35 $0.45 $0.65 $0.71 $0.88 $0.97
Smartphones and we believe it will continue to be a tailwind into
P/E Ratio: -- -- -- -- -- --
C12E.
Estimates and Valuations – Lowering our DecQ (F3Q12) from
prior $253M/$0.13 to $225M/$0.06. Lowering F12 (Mar) from
prior $942M/$0.45 to $889M/$0.35, F13 goes from $1.1B/$0.71
to $978M/$0.65, and F14 from $0.97 to $0.88. We are modestly
lowering our PT from $10 to $9. We believe RFMD is impacted
by near-term weakness in China and platform changeovers at
Nokia. Longer term the Company is still well positioned with the
best portfolio of design wins. The preannouncement should reset
the bar and position for new design ramps into C2012 (F13E).
Source: Factset
Important Disclosures regarding Price Target Risks, Valuation Methodology, Regulation Analyst Certification,
Investment Banking, Ratings Definitions, and potential conflicts of interest begin on Page I of the Appendix Section.
800 Shades Creek Parkway Suite 700 Birmingham, AL 35209 205-949-3500
Sterne, Agee & Leach Inc. is Member NYSE, FINRA, SIPC
RF MICRO DEVICES INC. (NNM: RFMD) January 5, 2012
Names Mentioned in Report
Name Ticker Price Rating Price Target Covering Analyst
HTC Corp. 2498-TAI $ 485.50 Not Rated - -
Nokia Corp. NOK $ 5.41 Not Rated - -
QUALCOMM Inc. QCOM $ 56.06 Buy $70 Rakesh
Research In Motion Ltd. RIMM $ 15.05 Neutral - Wu
Samsung Electronics Co. Ltd. 005930-KRX W 1,055,000 Not Rated - -
Source: FactSet, Sterne Agee Research
Page 2
RF MICRO DEVICES INC. (NNM: RFMD) January 5, 2012
RF Micro Devices Inc. Quarterly Income Statement
In $M, except per-share data Actual Actual Actual Actual Actual Actual Actual Estimate Estimate Estimate Estimate Estimate Estimate Estimate Estimate Estimate
FYE: Mar Jun-10 Sep-10 Dec-10 Mar-11 FY11 Jun-11 Sep-11 Dec-11 Mar-12 FY12 Jun-12 Sep-12 Dec-12 Mar-13 FY13 FY14
1/5/2012
Street Revenue Consensus 250.2 236.5 944.1 249.1 267.5 287.3 268.3 1,073.2 1,240.5
Revenue 273.8 285.8 278.8 213.3 1,051.8 214.2 243.8 225.3 205.2 888.5 219.5 238.4 270.7 249.4 978.0 1,185.6
Pro Forma COGS 166.5 172.1 170.9 133.3 642.7 131.6 148.4 157.7 131.6 569.4 131.5 142.1 160.9 147.7 582.2 699.8
GAAP COGS 171.4 177.1 175.7 137.8 662.1 136.0 153.4 162.7 136.6 588.7 136.5 147.1 165.9 152.7 602.2 719.8
Gross Profi t 107.4 113.7 107.9 80.0 409.0 82.6 95.4 67.6 73.6 319.1 88.0 96.3 109.8 101.7 395.8 485.8
Gross Profi t (GAAP) 102.4 108.7 103.1 75.5 389.7 78.2 90.4 62.6 68.6 299.8 83.0 91.3 104.8 96.7 375.8 465.8
Gross Margi n (excl . Stock Comp.) 39.2% 39.8% 38.7% 37.5% 38.9% 38.5% 39.1% 30.0% 35.9% 35.9% 40.1% 40.4% 40.6% 40.8% 40.5% 41.0%
R&D 36.1 35.6 35.3 35.5 142.5 36.6 37.0 33.2 27.2 134.0 26.9 28.0 29.4 28.8 113.1 118.1
% of Re ve nue 13% 12% 13% 17% 13.5% 17.1% 15.2% 14.8% 13.3% 15.1% 12.3% 11.8% 10.9% 11.6% 11.6% 10.0%
M&S 14.4 14.0 15.9 15.4 59.6 15.0 15.8 13.5 11.8 56.1 12.4 13.0 14.2 13.8 53.5 57.2
% of Re ve nue 5% 5% 6% 7% 5.7% 7.0% 6.5% 6.0% 5.7% 6.3% 5.7% 5.5% 5.3% 5.6% 5.5% 4.8%
G&A 11.1 14.8 12.9 11.1 49.9 11.5 14.6 11.3 9.2 46.6 9.8 10.4 11.5 11.1 42.7 44.5
% of Re ve nue 4% 5% 5% 5% 4.7% 5.4% 6.0% 5.0% 4.5% 5.2% 4.5% 4.4% 4.3% 4.5% 4.4% 3.8%
Other Operati ng Expens e 0.3 0.7 0.2 0.4 1.6 0.2 0.0 0.2 0.3 0.7 0.3 0.2 0.3 0.2 1.1 1.7
% of Re ve nue 0% 0% 0% 0% 0.2% 0.1% 0.0% 0.1% 0.2% 0.1% 0.2% 0.1% 0.1% 0.1% 0.1% 0.1%
Total OPEX (ex i tems, i ncl . stock Comp.) 61.8 65.2 64.3 62.3 253.6 63.3 67.4 58.2 48.5 237.4 49.4 51.6 55.4 54.0 210.4 221.4
% of Re ve nue 22.6% 22.8% 23.1% 29.2% 24.1% 29.6% 27.6% 25.9% 23.6% 26.7% 22.5% 21.7% 20.5% 21.7% 21.5% 18.7%
Operating Income 40.6 43.5 43.6 13.2 155.4 14.9 23.0 4.4 20.1 62.3 33.6 39.7 49.4 42.7 165.4 244.4
Other Income -4.5 -4.8 -3.0 -4.2 -16.6 -3.4 -2.5 -2.5 -2.5 -10.9 -2.4 -2.4 -2.4 -2.4 -9.6 -9.2
One-Ti me Gai ns /Loss es 0.0 0.0 0.0 0.0
Pre-Tax Income 36.0 38.7 40.6 9.1 138.9 11.4 20.5 1.9 17.6 51.4 31.2 37.3 47.0 40.3 155.9 235.2
Income Ta x 7.9 2.5 3.6 -15.1 -1.1 2.5 6.2 0.3 2.8 11.8 6.2 7.5 9.4 8.1 31.2 44.7
Tax Rate 21.9% 6.4% 8.9% -165.7% -0.8% 21.9% 30.2% 16.0% 16.0% 23.0% 20.0% 20.0% 20.0% 20.0% 20.0% 19.0%
GAAP Net Income 28.1 36.2 37.0 24.1 139.9 8.9 14.3 1.6 14.8 39.6 25.0 29.8 37.6 32.3 124.7 190.5
% of Re ve nue 10.3% 12.7% 13.3% 11.3% 13.3% 4.2% 5.9% 0.7% 7.2% 4.5% 11.4% 12.5% 13.9% 12.9% 12.7% 16.1%
Share s (Mi l , Di l uted, GAAP) 277.9 277.5 284.2 285.2 281.2 283.3 282.7 284.0 284.0 283.5 285.0 285.0 286.0 286.0 285.5 286.3
Total Non-Cas h & One-Ti me Charges 16.2 17.2 16.0 -2.4 47.0 12.4 16.8 14.5 14.7 58.4 14.8 14.9 15.0 15.1 59.7 61.4
Pro Forma Net Income 44.4 53.4 52.9 21.7 172.4 21.283 31.1 16.1 29.5 98.0 39.7 44.7 52.6 47.3 184.4 251.9
Share s (Mi l , Di l uted, Pro Forma) 277.9 277.5 284.2 285.6 281.3 283.3 282.7 284.0 284.0 283.5 285.0 285.0 286.0 286.0 285.5 286.3
Pro Forma EPS $0.16 $0.19 $0.19 $0.08 $0.61 $0.08 $0.11 $0.06 $0.10 $0.35 $0.14 $0.16 $0.18 $0.17 $0.65 $0.88
Y/Y Change 131% 53% 37% -52% 25% -53% -43% -70% 37% -44% 86% 43% 224% 60% 87% 36%
Q/Q Change 0% 21% -3% -59% -1% 46% -48% 83% 34% 12% 17% -10%
EPS Consensus $0.12 $0.10 $0.41 $0.12 $0.14 $0.17 $0.14 $0.57
GAAP EPS $0.10 $0.13 $0.13 $0.08 $0.50 $0.03 $0.05 $0.01 $0.05 $0.14 $0.09 $0.10 $0.13 $0.11 $0.44 $0.67
Y/Y Change 192% 167% 48% -13% 85% -69% -61% -96% -38% -72% 178% 107% 2259% 116% 212% 52%
Q/Q Change 4% 29% 0% -35% -63% 61% -89% 834% 68% 19% 26% -14%
EPS (Di l uted, GAAP, Ful l y Taxed) $0.08 $0.09 $0.09 $0.02 $0.32 $0.03 $0.05 $0.00 $0.04 $0.12 $0.07 $0.09 $0.11 $0.09 $0.35 $0.53
Y/Y Cha nge 181.6% 130.3% 46.2% -71.8% 55.8% -68.9% -47.9% NM 94.8% -63.3% 171.4% 80.3% NM 127.3% 200.8% 50.5%
Q/Q Cha nge 14.9% 7.6% 2.4% -77.7% 26.7% 79.8% NM NM 76.5% 19.5% 25.7% -14.3%
EPS Sensitivity
Revenue 5% Hi gher $0.18 $0.21 $0.19 $0.09 $0.67 $0.09 $0.13 $0.07 $0.12 $0.40 $0.15 $0.17 $0.20 $0.18 $0.71 $0.96
Revenue 5% Lower $0.14 $0.17 $0.15 $0.06 $0.53 $0.06 $0.09 $0.05 $0.09 $0.29 $0.12 $0.14 $0.17 $0.15 $0.58 $0.80
Gross Margi ns 50 Bas i s Pts Hi gher $0.16 $0.20 $0.17 $0.08 $0.62 $0.08 $0.11 $0.06 $0.11 $0.36 $0.14 $0.16 $0.19 $0.17 $0.66 $0.90
Gross Margi ns 50 Bas i s Pts Lower $0.15 $0.19 $0.16 $0.07 $0.58 $0.07 $0.11 $0.05 $0.10 $0.33 $0.14 $0.15 $0.18 $0.16 $0.63 $0.86
OPEX 100 Ba si s Pts Hi ghe r $0.16 $0.19 $0.17 $0.07 $0.59 $0.07 $0.11 $0.05 $0.10 $0.34 $0.14 $0.16 $0.18 $0.16 $0.64 $0.87
OPEX 100 Ba si s Pts Lowe r $0.16 $0.19 $0.17 $0.08 $0.61 $0.08 $0.11 $0.06 $0.11 $0.35 $0.14 $0.16 $0.19 $0.17 $0.65 $0.89
Source: Company Reports , Sterne Agee Es ti mates , FactSe t
Page 3
RF MICRO DEVICES INC. (NNM: RFMD) January 5, 2012
RF Micro Devices Inc. Balance Sheet
In ($M) Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual
FY Ends Mar Jun-08 Sep-08 Dec-08 Mar-09 Jun-09 Sep-09 Dec-09 Mar-10 Jun-10 Sep-10 Dec-10 Mar-11 Jun-11 Sep-11
Ca s h & Equi va lents 116.6 169.3 145.4 173.1 126.1 135.7 121.5 122.5 120.5 134.2 158.8 132.2 123.1 120.7
Short-Term Inves tments 80.5 50.0 92.9 93.5 186.6 223.3 81.0 134.9 161.4 105.9 145.9 159.9 133.0 156.0
Accounts Receiva bl e 117.2 122.6 75.9 90.2 98.1 100.9 97.6 108.2 129.8 134.7 138.8 120.4 115.7 127.5
Inventori es 180.2 165.5 151.3 113.6 107.0 117.9 121.5 122.5 128.0 130.9 133.4 149.8 163.2 163.2
Prepa i d Expens es
Other Current Ass ets 93.7 107.8 43.0 37.9 57.0 71.1 73.7 60.7 70.9 62.8 50.7 37.9 46.6 37.8
Tota l Current As s ets 588.2 615.1 508.4 508.3 574.8 648.9 495.3 548.8 610.6 568.6 627.6 600.2 581.5 605.1
Tota l PP&E 417.7 401.6 337.8 315.1 296.4 277.7 262.2 247.1 237.2 226.6 220.3 209.5 214.8 208.3
Goodwi ll 716.2 716.2 107.6 95.6 95.6 95.6 95.6 95.6 95.6 95.6 95.6 95.6 95.6 95.6
Other Inta ngi bl e As s ets 206.2 198.9 127.9 121.2 116.3 111.5 106.7 102.2 97.6 92.9 88.3 83.7 79.1 74.5
Long-Term Inve stments 24.6 23.6 19.3 20.2 2.2 2.2 2.5 2.2 2.2 2.2 2.7 2.7 2.8 2.7
Other Non-Current Inves tments 31.8 35.8 20.2 19.4 18.1 18.1 18.2 18.1 19.0 19.8 18.9 33.7 33.0 30.9
Total Assets 1,984.7 1,991.2 1,121.3 1,079.9 1,103.4 1,154.0 980.5 1,014.0 1,062.1 1,005.6 1,053.4 1,025.4 1,006.8 1,017.2
Accounts Pa ya ble & Accrued Lia b. 123.0 130.3 92.5 98.0 112.2 123.8 116.4 124.3 143.6 143.3 141.2 131.0 133.2 128.3
Accrue d Lia bi l ities 0.2 7.8 10.1
Current Debt & Lea s e Obl iga tions 4.6 4.7 0.2 5.8 19.7 225.8 26.6 28.5 23.0 14.3 5.4 4.0 45.6 49.4
Tota l Current Li a bil i ti es 127.8 142.8 102.7 103.8 131.9 349.6 143.0 152.7 166.7 157.6 146.6 134.9 178.8 177.8
Long-Term Debt, Net 616.2 615.6 582.0 573.0 487.0 283.9 286.8 289.8 290.4 204.2 207.4 177.3 113.7 115.4
Other Long-Term Lia bi l itie s 22.3 17.1 28.1 39.0 43.8 53.7 53.6 41.4 41.4 40.1 41.0 36.8 34.4 30.2
Total Liabilities 766.3 775.4 712.8 715.8 662.7 687.2 483.4 483.9 498.5 401.9 395.0 349.0 326.9 323.4
Total Shareholders Equity 1,218.3 1,215.7 408.4 364.0 440.7 466.8 496.8 530.1 563.6 603.7 658.4 676.4 680.0 693.8
Total Liabilities & Equity 1,984.7 1,991.2 1,121.3 1,079.9 1,103.4 1,154.0 980.2 1,014.0 1,062.1 1,005.6 1,053.4 1,025.4 1,006.8 1,017.2
Ratios
Book Va l ue Per Sha re $4.66 $4.64 $1.55 $1.38 $1.64 $1.56 $1.74 $1.92 $2.03 $2.18 $2.32 $2.37 $2.40 $2.45
Ca s h & Short Term Invs t / Sha re $0.75 $0.84 $0.91 $1.01 $1.16 $1.20 $0.71 $0.93 $1.01 $0.87 $1.07 $1.02 $0.90 $0.98
Current Ra ti o 4.6 4.3 4.9 4.9 4.4 1.9 3.5 3.6 3.7 3.6 4.3 4.4 3.3 3.4
Quick Ra ti o 3.2 3.1 3.5 3.8 3.5 1.5 2.6 2.8 2.9 2.8 3.4 3.3 2.3 2.5
Da ys Pa ya ble 47 46 46 52 48 44 42 43 48 46 46 56 57 48
Da ys Receiva bl e 44 41 34 48 42 36 36 38 43 43 45 51 49 48
Da ys Inventory 102 79 87 76 68 69 72 71 70 69 71 103 113 100
Debt/Ca pi ta l 33.2% 33.3% 57.1% 58.7% 50.1% 35.3% 34.2% 33.7% 32.4% 24.1% 22.9% 19.9% 13.7% 13.7%
EBIT ROA ( Annua l i zed ) -0.6% -0.1% -1.3% -3.7% 1.1% 1.5% 3.2% 3.5% 10.4% 3.8% 4.3% 1.3% 1.5% 1.4%
Source: Compa ny Reports a nd Sterne Agee Esti ma tes
Page 4
RF MICRO DEVICES INC. (NNM: RFMD) January 5, 2012
APPENDIX SECTION
Company Description: RF Micro Devices was founded in 1991, is headquartered in Greensboro, North Carolina, and designs
and manufactures radio frequency (RF) components and compound semiconductors in the United States and internationally,
providing integrated circuits. Markets served include the cellular handset, wireless infrastructure, wireless local area network
(WLAN), cable television/broadband, and aerospace and defense markets.
IMPORTANT DISCLOSURES:
Price Target Risks & Related Risk Factors:
Risks to our investment thesis and price target are as follows.
Market Risks:
- RFMD's continued success of its research and development efforts and timely introduction and execution of its new products.
- Customer concentration, competition and pricing pressure from other low-cost OEMs, ODMs and suppliers and possible new market
entrants from China, Asia-Pacific, or Taiwan.
- Unexpected changes in legal and regulatory requirements, tariffs and exchange rates, political and economic stability, staffing and
management issues, and potentially adverse tax consequences for its international operations.
Technology Risks:
- Potential loss of intellectual property.
- Commercialization of competing technologies.
Litigation Risks:
- Adverse effects of potential existing and possible future patent or other litigation.
Valuation Methodology:
Our $9.00 PT on RFMD is 14x our F13E EPS estimate of $0.65. Our F14E (Mar) is $0.88. New PowerSmart products ramping into
multiple handset OEMs point to increasing market share and gross margins. We believe new traction into 3G and a stronger ensuing
customer base position RFMD well. RFMD has historically traded between 6x and 30x forward P/E in the last five years.
Regulation Analyst Certification:
I, Vijay Rakesh, (312) 525-8431, Mark Kelley, hereby certify the views expressed in this research report accurately reflect my
personal views about the subject security(ies) or issuer(s). I further certify that no part of my compensation was, is, or will be, directly
or indirectly, related to the specific recommendations or views expressed by me in this report.
Sterne, Agee & Leach, Inc. Disclosure Legend as of January 5, 2012:
Company Disclosure(s) – See Below
QUALCOMM Incorporated (QCOM - NNM): 1
RF Micro Devices Inc. (RFMD - NNM): 1
Research In Motion Limited (RIMM - NNM): 1
Disclosure Legend
1. Sterne, Agee & Leach, Inc. makes a market in the shares of the subject company.
2. Sterne, Agee & Leach, Inc. has, over the past 12 months, managed or co-managed a public securities offering or
provided other investment banking services for the subject company.
3. Sterne, Agee & Leach, Inc. received compensation for products or services other than investment banking services
from the subject company in the past 12 months.
4. The Sterne Agee analyst who has active coverage on this company owns a position in the subject company.
5. Sterne, Agee & Leach, Inc. or its affiliates beneficially own 1% or more of any class of common equity securities of the
subject company.
Sterne Agee & Leach, Inc. expects to receive or intends to seek compensation for investment banking services from the subject
company in the next three months. Sterne, Agee & Leach, Inc.’s research analysts receive compensation that is based upon various
factors, including Sterne, Agee & Leach, Inc.’s total revenues, a portion of which is generated by investment banking activities.
Appendix Section, Page I
RF MICRO DEVICES INC. (NNM: RFMD) January 5, 2012
Definition of Investment Ratings:
BUY: We expect this stock to outperform the industry over the next 12 months.
NEUTRAL: We expect this stock to perform in line with the industry over the next 12 months.
UNDERPERFORM: We expect this stock to underperform the industry over the next 12 months.
RESTRICTED: Restricted list requirements preclude comment.
Ratings Distribution:
Of the securities rated by Sterne, Agee & Leach, Inc., as of December 31, 2011, 49.7% had a BUY rating, 43.6% had a NEUTRAL
rating, 6.7% had a UNDERPERFORM rating, and 0% was RESTRICTED. Within those ratings categories, 3.8% of the securities
rated BUY, 1.1% rated NEUTRAL, 0% rated UNDERPERFORM, and 0% rated RESTRICTED received investment banking services
from Sterne, Agee & Leach, Inc., within the 12 months preceding December 31, 2011.
ADDITIONAL INFORMATION AVAILABLE UPON REQUEST: Contact Robert Hoehn at 1-212-338-4731.
Other Disclosures:
Opinions expressed are our present opinions only. This material is based upon information that we consider reliable, but we do not
represent that it is accurate or complete, and it should not be relied upon as such. Sterne, Agee & Leach, Inc., its affiliates, or one or
more of its officers, employees, or consultants may, at times, have long or short or options positions in the securities mentioned herein
and may act as principal or agent to buy or sell such securities.
Copyright © 2012 Sterne, Agee & Leach, Inc. All Rights Reserved.
Sterne, Agee & Leach, Inc. disclosure price charts are updated within the first fifteen days of each new calendar quarter per FINRA
regulations. Price charts for companies initiated upon in the current quarter, and rating and target price changes occurring in the
current quarter, will not be displayed until the following quarter.
Price Chart(s):
To receive price charts or other disclosures on the companies mentioned in this report, please contact
Sterne, Agee & Leach, Inc. toll-free at (800) 240-1438 or (205) 949-3689.
Appendix Section, Page II
Founded in 1901, Sterne Agee has been providing investors like you with high-quality investment opportunities for over a century. During the
early years, our founders prominently established themselves in the financial securities industry in the southeastern United States. Today, we
have expanded to serve all regions of the country. Sterne, Agee is headquartered in Birmingham, Alabama with offices in 22 states. Sterne
Agee is one of the largest independent firms in the country. Sterne, Agee & Leach, Inc. is a division of Sterne Agee Group, Inc., which also
includes The Trust Company of Sterne, Agee & Leach, Inc.; Sterne Agee Asset Management, Inc.; Sterne Agee Clearing, Inc.; and Sterne Agee
Financial Services, Inc.—www.sterneagee.com
EQUITY CAPITAL MARKETS
Ryan Medo Managing Dir., Eq. Cap. Mkts. (205) 949-3623 William McIlroy Director, Equity Products (212) 338-4781
INSTITUTIONAL SALES INSTITUTIONAL TRADING
Steve Pokorny Head of Institutional Sales (214) 702-4020 JT Cacciabaudo Head of Trading (212) 763-8288
EQUITY RESEARCH
Robert Hoehn Director of Research (212) 338-4731
CONSUMER FINANCIAL SERVICES (CONT.)
Apparel Retailing & Toys Property/Casualty Insurance
Margaret Whitfield SVP, Sr. Analyst (973) 519-1019 Dan Farrell Mng. Dir. (212) 338-4782
Tom Nikic, CFA Analyst (212) 338-4784 Nitin Chhabra, FCAS Analyst (212) 338-4779
Educational Services / Interactive Entertainment GLOBAL INDUSTRIAL INFRASTRUCTURE (GII)
Arvind Bhatia, CFA Mng. Dir. (214) 702-4001
ACME & Latin America
Brett Strauser Analyst (214) 702-4009
Ben Elias, CFA SVP, Sr. Analyst (212) 338-4706
Footwear & Apparel Ali-Ahmad Faghri Associate (646) 376-5304
Sam Poser Mng. Dir. (212) 763-8226
Aerospace
Kenneth M. Stumphauzer, CFA Sr. Analyst (212) 763-8287
Peter Arment Mng. Dir. (646) 376-5336
Leisure & Entertainment Josh W. Sullivan Analyst (646) 376-5337
David Bain Mng. Dir. (949) 721-6651
Sherry Yin Associate (949) 721-6651 Auto, Auto Parts and Auto Retailers
Michael P. Ward, CFA Mng. Dir. (646) 376-5375
Restaurants
Lynne Collier Mng. Dir. (214) 702-4045 Coal, Metals & Mining, Engineering & Construction
Philip May Analyst (214) 702-4004 Michael S. Dudas, CFA Mng. Dir. (646) 376-5329
Satyadeep Jain Analyst (646) 376-5357
ENERGY Patrick Uotila, CPA Analyst (646) 376-5358
Exploration & Production
Michael J. McAllister Mng. Dir. (212) 338-4783 Construction Materials & Diversified Industrials
Tim Rezvan, CFA Analyst (212) 338-4736 Todd Vencil, CFA SVP, Sr. Analyst (804) 282-7385
Ryan Mueller Associate (212) 338-4732 Kevin Bennett, CFA Analyst (804) 282-4506
Oilfield Services & Equipment HEALTHCARE
Stephen D. Gengaro Mng. Dir. (646) 376-5331 Pharmaceutical Services
Grant Fox Associate (212) 338-4723 Greg T. Bolan Mng. Dir. (615) 760-1469
Himanshu Rastogi, CFA Associate (615) 509-2652
FINANCIAL SERVICES
Asset Management TECHNOLOGY
Jason Weyeneth, CFA SVP, Sr. Analyst (212) 763-8293 Data Networking and Storage
Charles Warren Analyst (646) 376-5309 Alex Kurtz Mng. Dir (415) 402-6015
Amelia Harris Analyst (415) 402-6018
Banks & Thrifts
Matthew Kelley Mng. Dir. (207) 699-5800 Financial Technology
Mike I. Shafir SVP, Sr. Analyst (212) 763-8239 Greg Smith Mng. Dir (818) 615-2029
Matthew Breese Analyst (207) 699-5800 Jennifer Dugan Analyst (415) 402-6051
Brett Rabatin, CFA SVP, Sr. Analyst (877) 457-8625
Kenneth James Analyst (615) 760-1474 Hardware, Mobile Devices, IT Supply Chain
Nathan Race Associate (615) 760-1477 Shaw Wu SVP, Sr. Analyst (415) 362-7431
Peyton Green Mng. Dir. (877) 492-2663
Zachary Wollam Analyst (615) 760-1468 LED Supply Chain
Todd L. Hagerman Mng. Dir. (212) 338-4744 Andrew Huang Mng. Dir. (415) 362-6143
Robert Greene Analyst (212) 763-8296 John Shen Associate (415) 402-6052
Semiconductors
Life Insurance Vijay Rakesh Mng. Dir. (312) 525-8431
John M. Nadel Mng. Dir. (212) 338-4717 Mark Kelley Analyst (312) 525-8430
Alex Levine Associate (212) 338-4748
TRANSPORTATION, SERVICES & EQUIPMENT
Mortgage Finance & Specialty Finance Jeffrey A. Kauffman Mng. Dir. (212) 338-4765
Henry J. Coffey, Jr., CFA Mng. Dir. (615) 760-1472 Sal Vitale VP, Analyst (212) 338-4766
Jason Weaver Analyst (615) 760-1475 Kanchana Pinnapureddy Associate (212) 338-4767
Calvin Hotrum Associate (615) 760-1476
Email Address for Sterne Agee Employees: first initial + last name@sterneagee.com (e.g., jsmith@sterneagee.com)