RBC Capital Downgrades NVIDIA (NVDA) to Sector Perform; PC and non-Apple Tablet Headwinds are Concerning

RBC Capital downgraded NVIDIA (NASDAQ: NVDA) from Outperform to Sector Perform with a price target of $15.00 (from $20.00) as part of broader Semiconductor Sector downgrade.

Analyst Doug Freedman comments, "In the near-term while the company is gaining share from AMD in the discrete graphics market on its newer Kepler generation GPUs, weakness in the general PC market could limit the upside potential in the next 2-3 quarters. More longer-term, we believe there are risks to EPS leverage including: 1) >50% of its Tegra based sales are tablets, this represents ~6%-8% of company revenues which are exposed to Android tablets and 2) upcoming spending cycle on wireless ramp (LTE+apps processor development - to market 1Q'14)."

For an analyst ratings summary and ratings history on NVIDIA click here. For more ratings news on NVIDIA click here.

Shares of NVIDIA closed at $13.46 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• UBS Reiterates Buy Rating on NVIDIA (NVDA), Expects Q2 Revenue Beat
• Active options: NVDA AAPL MU ONDS SPCX TSLA PLTR AMZN GOOGL NFLX
• Apollo Hospitals (APLH:IN) PT Raised to INR8,500 at ICICI Securities