UPDATE: UBS Investment Research Downgrades Broadcom Corporation to Neutral, Lowers PT on Wireless Risks

In a report published Friday, UBS Investment Research analyst Stephen Chin downgraded the rating on

from Buy to Neutral, and lowered the price target from $35.00 to $30.00. In the report, UBS Investment Research noted, “We are downgrading Broadcom to a Neutral rating from Buy owing to: 1) slowing smartphone market growth that could limit upside in wireless connectivity growth, 2) headline risk from combo connectivity chip share loss albeit in low-end mobile devices where Broadcom still has low penetration, 3) moderate cellular SoC growth prospects in the coming year given 3G competition and limited 4G SoC shipments till 2H14. On expectations for greater cellular SoC competition, we lower gross margin and EPS modestly for C14-17E.” Broadcom Corporation closed on Thursday at $27.63.