Pixelworks price target lowered to $15 from $20 at Roth Capital

Roth Capital analyst Suji Desilva lowered the firm’s price target on Pixelworks (PXLW) to $15 from $20 and keeps a Buy rating on the shares after the company announced the divestiture of its Shanghai subsidiary to a Chinese semiconductor company in an all-cash transaction. The firm expects the incremental funds to support the advancement of the company’s U.S.-based TrueCut motion customer development and licensing efforts. While it updated its model with future earnings calls, Roth is basing its new price target on its forecast for remaining PXLW TrueCut revenue plus cash per share post deal.