Craig-Hallum lowered the firm’s price target on Heritage Global to $3.50 from $4 and keeps a Buy rating on the shares. The quarter was relatively strong but revealed that the company’s largest loan in the Specialty Lending segment has gone into non-accrual status, resulting in a $1.6M decrease in operating income in the back half of the year, the analyst tells investors in a research note. While the situation warrants concern and is likely to result in an overhang on stock, the firm notes that fundamentals on both the brokerage side and the auction side are trending positively.