DA Davidson analyst Thomas Diffely raised his price target on IPG Photonics to $275 after the company's Q4 earnings, saying the EPS ex-tax impact of $1.86 was well above consensus of $1.69, with the upside for the quarter driven by accelerating adoption of high-power lasers. The analyst also points to record level of backlog leading to a FY18 guidance view of 10%-15% annual growth following 40% growth in FY17. Diffely keeps his Buy rating, stating that further upside can be driven by accretive M&A from its $1.1B in cash and recent product innovations such as UV lasers and Ultrafast pulse lasers.