Wedbush downgrades Turtle Beach to Neutral on tariffs, GTA delay

As previously reported, Wedbush downgraded Turtle Beach (TBCH) to Neutral from Outperform with a price target of $9, down from $21. The firm cites reduced estimates, as significant headwinds have crystallized since the company last provided guidance. Specifically, tariffs in China create a material impact on Turtle Beach, given that over 75% of its revenue is from domestic sales, while roughly 50% of its manufacturing is from China, the balance from elsewhere in Asia, Wedbush notes. Additionally, the GTA 6 release date delays a significant uptick of sales from this coming holiday period to Q2 – Q4 next year.