Cree (CREE -6.1%) has sold off hard thanks to a downgrade to Hold from Canaccord, which thinks...

|By:, SA News Editor

Cree (CREE -6.1%) has sold off hard thanks to a downgrade to Hold from Canaccord, which thinks its margin expansion thesis (stemming from the migration of legacy LED components to Cree's SC3 platform) is "largely played out." The firm thinks future growth will driven by Cree's lighting business, which sports lower margins than its component ops.