Cree Inc. (NASDAQ:CREE) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a report released on Monday.

According to Zacks, “Cree, Inc. is a market-leading innovator and manufacturer of semiconductors that enhance the value of solid-state lighting, power and communications products by significantly increasing their energy performance and efficiency. Key to Cree’s market advantage is its world-class materials expertise in silicon carbide and gallium nitride for chips and packaged devices that can handle more power in a smaller space while producing less heat than other available technologies, materials and products. Cree drives its increased performance technology into multiple applications, including exciting alternatives in brighter and more-tunable light for general illumination, backlighting for more-vivid displays, optimized power management for high-current switch-mode power supplies and variable-speed motors, and more-effective wireless infrastructure for data and voice communications. Cree customers range from innovative lighting-fixtures makers to defense-related federal agencies. “

A number of other research analysts have also commented on CREE. Deutsche Bank AG raised their price target on Cree from $23.00 to $26.00 and gave the company a “hold” rating in a report on Friday, July 15th. Canaccord Genuity reissued a “hold” rating and set a $24.00 price target (up from $19.00) on shares of Cree in a report on Sunday, July 17th. Needham & Company LLC reissued a “hold” rating on shares of Cree in a report on Sunday, July 17th. Cowen and Company reissued a “hold” rating on shares of Cree in a report on Sunday, July 17th. Finally, Goldman Sachs Group Inc. lowered their price target on Cree from $20.00 to $18.00 and set a “sell” rating on the stock in a report on Wednesday, August 17th. Three research analysts have rated the stock with a sell rating, twelve have assigned a hold rating and four have assigned a buy rating to the company’s stock. Cree has an average rating of “Hold” and an average price target of $32.67.

Analyst Recommendations for Cree (NASDAQ:CREE)

Cree (NASDAQ:CREE) traded up 0.71% on Monday, reaching $25.47. 403,907 shares of the company’s stock were exchanged. The firm’s 50 day moving average is $24.57 and its 200 day moving average is $25.30. Cree has a 1-year low of $22.10 and a 1-year high of $32.92. The stock’s market capitalization is $2.56 billion.

Cree (NASDAQ:CREE) last issued its quarterly earnings results on Tuesday, August 16th. The LED producer reported $0.19 EPS for the quarter, missing analysts’ consensus estimates of $0.20 by $0.01. The business had revenue of $388.40 million for the quarter, compared to analyst estimates of $385.83 million. Cree had a negative net margin of 1.25% and a positive return on equity of 1.81%. Cree’s revenue for the quarter was up 1.6% on a year-over-year basis. During the same period last year, the business posted ($0.19) earnings per share. Analysts expect that Cree will post $0.56 EPS for the current year.

In related news, Director John B. Replogle bought 5,000 shares of Cree stock in a transaction that occurred on Thursday, August 18th. The stock was purchased at an average cost of $23.33 per share, for a total transaction of $116,650.00. Following the acquisition, the director now owns 35,123 shares in the company, valued at $819,419.59. The acquisition was disclosed in a document filed with the SEC, which is accessible through the SEC website. 1.30% of the stock is owned by corporate insiders.

Large investors have recently bought and sold shares of the company. Prudential Financial Inc. raised its stake in Cree by 0.5% in the second quarter. Prudential Financial Inc. now owns 59,314 shares of the LED producer’s stock valued at $1,450,000 after buying an additional 300 shares during the period. Cambridge Investment Research Advisors Inc. raised its stake in Cree by 3.5% in the second quarter. Cambridge Investment Research Advisors Inc. now owns 11,942 shares of the LED producer’s stock valued at $292,000 after buying an additional 399 shares during the period. Advisory Services Network LLC raised its stake in Cree by 6.6% in the third quarter. Advisory Services Network LLC now owns 6,426 shares of the LED producer’s stock valued at $165,000 after buying an additional 400 shares during the period. Wrapmanager Inc. raised its stake in Cree by 4.7% in the second quarter. Wrapmanager Inc. now owns 10,109 shares of the LED producer’s stock valued at $247,000 after buying an additional 450 shares during the period. Finally, Eqis Capital Management Inc. raised its stake in Cree by 2.1% in the third quarter. Eqis Capital Management Inc. now owns 22,695 shares of the LED producer’s stock valued at $584,000 after buying an additional 461 shares during the period. Hedge funds and other institutional investors own 83.26% of the company’s stock.

Cree Company Profile

Cree, Inc is a manufacturer of lighting-class light emitting diode (LED) products, lighting products and semiconductor products for power and radio-frequency (RF) applications. The Company’s products are focused for applications, such as indoor and outdoor lighting, video displays, transportation, electronic signs and signals, power supplies, inverters and wireless systems.

5 Day Chart for NASDAQ:CREE

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