As previously reported, Craig-Hallum analyst Christian Schwab upgraded PDF Solutions to Buy from Hold with a price target of $23.50, up from $13.00. The analyst notes that PDF Solutions is transitioning the company to an analytics software model, and believes that looking out 3-5 years, and in line with management's longterm model shared at the company's Analyst Day, it can become a "Rule of 40" SaaS like company with 70% gross margins and in aggregate a 20% top line growth rate and 20% operating margin. Further, Schwab thingks PDF has a very defensible position in its analytics business, with a 97% retention rate of analytics customers, about 15,000 engineers trained and using PDF's analytics worldwide, over 24,000 process tools using Exensio Control, and more than 16,000 tester and assembly tools under Exensio Test.