UPDATE: JP Morgan Downgrades Spreadtrum Communications to Neutral Shipment Deceleration

JP Morgan reduced its rating on Spreadtrum Communications

from Overweight to Neutral but raised its price target from $22 to $23. JP Morgan said, "Monthly smartphone shipments will likely peak in November at ~10mn due to the end-2012 TD handset procurement program of CM. CM's 2013 TD handset procurement plan won't come out until after the CNY. Moreover, we believe dual-core TD smartphone chipsets may not start shipping till April 2013. The transition period could make it hard for the stock to perform after the share price run, in our view." Spreadtrum Communications closed at $21.33 on Thursday.