NXP Semiconductors Downgraded To Sell At Stifel Amid Signs Of Possible Peak

As previously reported, Stifel analyst Tore Svanberg downgraded NXP Semiconductors (NXPI) to Sell from Hold, arguing that multiple recent industry data points seem to suggest the analog and mixed-signal semiconductor markets are peaking.

Amid the potentially peaking semi cycle, NXP has re-emerged with a post-takeover plan for a massive buyback, which translates to higher debt, Svanberg tells investors.He is particularly concerned, given the peaking industry condition, that rising interest rates raise the risk for debt-heavy firms, he added.

Svanberg cut his price target on NXP shares to $84 from $99.