Logitech: shares sink after UBS downgrades to 'sell'
(CercleFinance.com) - Logitech shares are tumbling 7% on Thursday after UBS downgraded them to "sell," warning investors against "rising challenges" at the Swiss computer accessory maker, including slowing growth.
While the vast majority of analysts have "buy" ratings on the stock, UBS is more skeptical, citing the risk of slowing growth in the key video-conferencing market as larger players enter the market, as well slowing growth rates in gaming.
The broker has hence downgraded its rating on the stock from "neutral" to "sell" and has cut its corresponding target price from 47 Swiss francs to 37 Swiss francs.
Logitech shares - which rose almost 60% over 2019 - were trading at 42.1 Swiss francs in late morning trading, down 7.1%.
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