Why Cirrus Logic Shares Fell 15% Last Month
Shares of Cirrus Logic (NASDAQ: CRUS) fell 14.8% in June, according to data from S&P Global Market Intelligence. The audio chip designer received a matching pair of bullish and bearish analyst reports in the third week of June. Investors brushed off the optimistic analysis to focus on the potential downside in owning Cirrus shares.
Barclays analyst Blayne Curtis downgraded the stock from "equal weight" to "underweight," lowering his price target from $75 to $60 per share. Curtis agreed that the new design wins within the Apple (NASDAQ: AAPL) account that drove Cirrus shares higher in the fall of 2019 will benefit the company. He also argued that the current share price "is more than reflecting" the financial upside of providing a closed loop controller for future iPhones. Apple is also rumored to stop including wired earbuds in off-the-shelf iPhone packages this year. Cirrus shares fell as much as 11% the day the news was revealed.
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Source Fool.com
