Citi says shares of NXP Semiconductors (NXPI) traded down last night following a largely in line earnings report due to lower than expected gross margins and the guidance. Citi would not be surprised to see the stock continue to be volatile until business trends are consistently higher and NXP inventory is lower. The company’s gross margins missed estimates and the Q2 margin outlook is below expectations, the analyst tells investors in a research note. The firm keeps a Buy rating on NXP with a $220 price target but believes gross margin will be the main driver of the stock.
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- Positive Outlook on NXP Semiconductors Despite Gross Margin Challenges
- NXP Semiconductors: Resilience and Strategic Flexibility Justify Buy Rating Amid Market Challenges
- Closing Bell Movers: NXP Semi slips 7% after earnings
- NXP Semiconductors reports Q1 EPS $2.64, consensus $2.60
- NXP Semiconductors sees Q2 EPS $2.46-$2.86, consensus $2.65