EMKR - Cowen cuts Emcore price target after Q2 miss downside Q3 outlook

Cowen has cut Emcore's (NASDAQ:EMKR) price target in half, from $10 to $5, while maintaining an "Outperform" rating. The new PT implies a 39% increase from last closing price. The target revision comes on the heels of Emcore's (EMKR) Q2 earnings release that missed Wall Street estimates. The communication device company reported a net loss $2.2M, or $0.06 per diluted share, compared to a $4.38M income, or $0.13 per diluted share, in the prior year quarter. Profit margins were impacted by semiconductor costs and lower overall Aerospace and Defense segment revenue. Semiconductor and supply chain challenges also affected gross margin (non-GAAP) significantly, bringing it down to 30%. Revenue for the period fell -14.8% Y/Y to $32.7M. The Aerospace and Defense (A&D) segment contributed $9M, while the Broadband segment contributed $23.6M to the revenue. In the near term, due largely to a further softening of demand for CATV product line, the

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Cowen cuts Emcore price target after Q2 miss, downside Q3 outlook