IPG Photonics downgraded at Benchmark on pushed out recovery expectations

Benchmark downgraded IPG Photonics to Hold from Buy with no price target after the company posted June-end quarter results that were in line with prior guidance, but gave a forecast for the September-ed quarter that was well below investor expectations. IPG now does not believe the recovery will start until sometime in 2025, with continued weak industrial demand, customer inventory issues and push outs of customer programs into 2025 cited as reasons, notes the analyst, who “significantly” lowered 2024 and 2025 estimates as a result of the guidance.