Impinj price target lowered to $140 from $235 at Piper Sandler

Piper Sandler lowered the firm’s price target on Impinj (PI) to $140 from $235 and keeps an Overweight rating on the shares. The firm says it is a buyer of shares of Impinj on the miss from December quarter earnings. To Piper, the reaction in the stock seems overblown. For starters, it appears that the total extent of inventory excess appears to be in the range of 2-3 weeks and is limited to mostly one customer in the logistics space. The firm feels that Impinj is pursuing an extremely aggressive strategy to fix this issue and hence the significant guide down to March quarter revenues and associated financial metrics. The firm suspects that the majority of the inventory clean-up would be carried out and accomplished in the March quarter with a small pocket left for the June quarter. That said, Piper would expect the stock to react ahead of the cleanup and feels that the bottom has been set in with this miss.