RBC Capital Downgrades Zynex to Sector Perform, PT to $3 from $4.

RBC Capital Downgrades Zynex to Sector Perform, PT to $3 from $4.

RBC Capital has downgraded Zynex (ZYNX) to a Sector Perform rating, reducing its price target from $4 to $3. The analyst, Tom Narayan, cited ongoing challenges in the automotive industry, including tariffs and a potential slowdown in vehicle sales. Despite Zynex's strong first-quarter results, the analyst expressed concern over the company's ability to maintain growth in a volatile market environment. The average target price for Zynex is $3.50, with a high estimate of $4.50 and a low estimate of $2.00, indicating a potential downside of 27.24% from the current price of $4.76.

The consensus recommendation from 22 brokerage firms is currently 1.8, indicating a Sector Perform status. GuruFocus estimates the GF Value for Zynex in one year to be $4.00, suggesting a potential downside of 16.00% from the current price of $4.76.

Zynex exceeded its first-quarter guidance, driven by strong growth in non-automotive markets and a record operating income of $450 million. However, the company faces uncertainty due to rapid changes in global trade policies and a potential slowdown in vehicle production volumes.

References:
[1] https://www.gurufocus.com/news/2966085/rbc-capital-elevates-price-target-for-aptiv-aptv-amid-auto-industry-challenges-aptv-stock-news
[2] https://au.investing.com/news/analyst-ratings/corteva-stock-price-target-raised-to-85-from-74-at-rbc-capital-93CH-3922450