UPDATE: Goldman Sachs Downgrades Intersil to Sell

Goldman Sachs has published a research report on Intersil Corporation

and has downgraded the company from Neutral to Sell. In the report, Goldman Sachs writes, "We downgrade Intersil to Sell from Neutral and see 14% downside to our $9, 12-month price target. We expect structural challenges to lead to stock underperformance in 2012. Intersil's sales and earnings growth has lagged peers' over the past three years despite several acquisitions, which we believe illustrates market share loss in its core analog business, and particularly in high-volume segments. We think management has done well with cost controls and returning cash to shareholders, with a 4.6% dividend yield. However, we expect competitive pressures to weigh on the stock as peers with lower cost products aggressively target market share." Goldman Sachs maintains its $9 price target on Intersil, which is currently trading down $0.34 from Friday's $10.44 closing price.