Oppenheimer downgrades Ichor on ‘little margin for error’ valuation

Oppenheimer downgraded Ichor Holdings (ICHR) to Perform from Outperform with a price target of $32, up from $30. The shares are up 70% year-to-date on improving industry sentiment and memory cycle upside, the analyst tells investors in a research note. The firm believes Ichor shares now reflect the company’s medium-term opportunity. While encouraged by the early progress under new CEO Phil Barros, Oppenheimer points out he is a 20-year insider involved during prior manufacturing ramp issues. Meanwhile, Ichor’s pivot toward an “active process control” product-driven model remains a work-in-progress, the firm contends. It says the stock’s valuation now leaves “little margin for error.”