CommScope downgraded to Market Perform from Outperform at Northland

Northland downgraded CommScope to Market Perform from Outperform with a price target of $1.25, down from $3. Given weakness in Cable and Networking segments, which was “very much evident in Q124 guide,” the prospects for the potential for strategic asset sales, likely of the two remaining ARRS units, to address the company’s balance sheet challenges have dimmed, the analyst tells investors. With the company noting no plans to “sell assets on the cheap” and to manage upcoming debt maturities via credit lines, the firm sees a lack of a strategic catalyst.