UPDATE - UBS downgraded Sequans (SQNS) to Neutral; Slashing Numbers on Diminshing Visibility

UPDATE - UBS downgrades Sequans (Nasdaq: SQNS) from Buy to Neutral. PT was slashed from $9 to $2.75.

UBS analyst said, "We downgrade SQNS to Neutral as we believe that the risk associated with the company has increased drastically given the diminishing visibility in its revenue stream going forward. While WiMax is expected to decline sharply in 4Q and 1Q12, uncertainty continues on the timing and magnitude of TD-LTE ramp in China and India. Though we are optimistic regarding LTE deployments in China and India, we believe it is prudent to be cautious given the current macro environment, which could impact carrier capex."

"We lower 4Q Rev/EPS to $11m/(17c), from $21.3m/(2c). For 2012, we lower Rev/EPS to $26m/(70c), vs. $90m/(7c) & for 2013 to $70m/(24c), vs. $130m/16c."

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