* Jefferies raises price target on stock
* Says co moving into more diversified mobility solutions
* Shares rise 16 pct
July 30 (Reuters) - Shares of Canada’s Sierra Wireless Inc SW.TO SWIR.O rose as much as 16 percent on Friday, a day after the mobile modem maker posted second-quarter results that beat estimates and forecast a strong third quarter. The company is expanding beyond its PC card heritage into more diversified mobility solutions, said Jefferies & Co, which raised its price target on the stock to $9 from $8. Valuation remains attractive, the brokerage said.
Sierra makes the AirCard line of wireless modems and offers professional services to OEMs during their product development and launches of wireless design.
CIBC analyst Todd Coupland said revenue is expected to see good sequential growth in the fourth quarter.
While the M2M (machine-to-machine communication) business is down slightly sequentially, several new programs in automotive, networking and mobile handheld devices are likely to see revenue rise significantly next year, Coupland added. Sierra Wireless shares were up C$1.05 at C$8.90 Friday morning on the Toronto Stock Exchange. They earlier touched a high of C$9.11. (Reporting by Bhaswati Mukhopadhyay in Bangalore; Editing by Aradhana Aravindan)