Logitech (LOGI – Research Report), the Technology sector company, was revisited by a Wall Street analyst today. Analyst Didier Scemama from Bank of America Securities downgraded the rating on the stock to a Sell and gave it a CHF80.00 price target.
Didier Scemama has given his Sell rating due to a combination of factors affecting Logitech’s financial outlook. The analyst downgraded Logitech to Underperform from Neutral, citing a reduction in revenue and earnings estimates for the fiscal years 2026 and 2027. This downgrade reflects lower gross margin assumptions and a weaker product mix, particularly in the Pointing Devices and Gaming segments, which are not fully offset by optimism in the Video Collaboration division.
Furthermore, Scemama expressed caution regarding the PC, Tablet, and Gaming Peripherals segments, where estimates have been cut due to concerns about replenished inventories and potential negative impacts from tariffs. Although Logitech’s operational metrics remain strong, with high cash conversion and shareholder returns, the stock’s current valuation is at the upper end of its historical range. Without a significant acceleration in organic sales growth or margin expansion, Scemama believes that further re-rating of the stock could be challenging.
According to TipRanks, Scemama is an analyst with an average return of -5.2% and a 36.49% success rate. Scemama covers the Technology sector, focusing on stocks such as Logitech, STMicroelectronics, and Infineon Technologies AG.