Seeking Alpha

NeoPhotonics -2.9% facing demand challenges, says Needham

|About: NeoPhotonics Corporation (NPTN)|By:, SA News Editor

NeoPhotonics (NYSE:NPTN) faces "spotty at best" demand prospects due to continuing trade war risks, says Needham.

The firm says Huawei's visibility "remains murky," and notes that Huawei is NPTN's largest customer.

Second-largest customer Ciena has demand growth that "appears to be cooling sharply" and could come in at "mid- to even low single-digit rate for the next 2-3 quarters."

Needham has a Hold rating on NeoPhotonics. The company has an Outperform average Sell Side rating.

NPTN shares are down 2.9% to $6.10.

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