Boston, MA 04/08/2014 (wallstreetpr) – Taiwan Based, Himax Technologies, Inc. (ADR) (NASDAQ:HIMX), continues to sink in the market something that seems to have caught many analysts as a surprise. Last year, the company’s stock was a blaze with many analysts running up and down to purchase them at the back of the company striking a deal with Google Inc. (NASDAQ:GOOG) for the supply of LCOS micro displays.
Himax Revenue Growth Slows Down
The company stock looks to have gotten ahead of its fundamentals as they have continued to experience a torrid experience in the markets in the recent past. Himax’s revenue growth looks to have slowed down and the company continue to be volatile in the markets. Himax is currently at a low of 17% something that has prompted Bank of America to have a massive downgrade on the company’s stock from a “buy” to an “underperform”.
Himax saw its revenue for last year grow by 4.5% coming in at $770.7 million, the company stock kept on moving on optimism that the Google glass deal will have a financial impact on the company. Himax is currently struggling with a drop in demand for large panel display drivers which were consequently down by 25% last year. Himax Technologies, Inc. (ADR) (NASDAQ:HIMX) has its fingers crossed on improved growth for the year as there are expectations that sales for 4K televisions would be higher for the year.
Himax Banking on Increased Demand for 4K TV LCD
Shipments for 4K TV LCD panels is expected to reach an all-time high of 12.7 million up from 1.9 million reported last year. This should be great business for Himax as it tries to move its attention from Google glass. Himax with its numerous china based manufacturers looks set to benefit from the turn around.
Himax Technologies, Inc. (ADR) (NASDAQ:HIMX) continues to experience margin pains on its Google glass segment due to oversupply and the troubles looks set to continue in the year as their won’t be a release of any Glass smartphone. Himax was down by 5.255 on Monday trading session closing the day at a low of $10.83
