AXT Inc. price target lowered to $3.75 from $5.50 at Craig-Hallum

Craig-Hallum analyst Richard Shannon lowered the firm’s price target on AXT Inc. to $3.75 from $5.50 and keeps a Hold rating on the shares. AXT reported an in line Q1, and while Q2 revenues were guided flat quarter over quarter, EPS was guided lower, the analyst tells investors in a research note. The firm thinks AXT’s sales have likely bottom, but says gross margin implied in Q2 results are quite a bit lower than mix shift would imply, suggesting pricing issues.