UPDATE: JP Morgan Downgrades QUALCOMM to Neutral on Slowing Smartphone Adoption

JP Morgan downgraded QUALCOMM QCOM from Overweight to Neutral and maintained a $70.00 price target. JP Morgan said, "We are downgrading our rating on Qualcomm from Overweight to Neutral as every day in 2013 brings us closer to rapidly slowing smartphone adoption that we expect in 2014. As the windfall from high 28nm chip demand recedes into the rearview mirror we believe this eventual market deceleration is likely to become more of a focus for Qualcomm investors. Our proprietary models also suggest that 3G ASPs are likely to finally begin declining this year as cheaper tablets and smartphones weigh into the mix. We are keeping our $70 price target to indicate that we continue to see limited upside to current earnings estimates and the stock price." QUALCOMM closed at $67.18 on Monday.