- Mizuho analyst Vijay Rakesh lowered the price target on Qualcomm Inc QCOM to $185 from $210 (35.1% upside) and kept a Buy rating.
- The first half of 2022 brings "multiple headwinds" to China handset manufacturers from weaker 5G demand, extended COVID lockdowns, and a more competitive Apple Inc AAPL iPhone.
- The headwinds are driving potentially increased radio frequency inventory and weaker 5G SoC demand.
- Rakesh also cut the price target on Qorvo Inc QRVO to $135 from $155 (19.1% upside), Skyworks Solutions Inc SWKS to $175 from $210 (48.7% upside), and Synaptics Inc SYNA to $250 from $290 (63.6% upside).
- He saw negative investor sentiment, especially with Shanghai, the most significant manufacturing hub in China for handsets/PC/autos, in lockdown with logistics constraints.
- Other headwinds included the Ukraine crisis, rising inflation, interest rates, and supply chain crisis.
- Price Action: QCOM shares traded lower by 1.44% at $134.49 in the premarket on the last check Monday.
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.