Notable Downgrades: Microsoft Corp. (MSFT), 3D Systems (DDD), KLA-Tencor (KLAC), Procera Networks (PKT)

Shares of Microsoft Corporation (MSFT) trading sharply lower in mid-day trading today, after a flurry of downgrades from the sell-side following disappointing earnings results that came in below analysts’ expectations.

The name was downgraded to ‘Neutral’ from ‘Overweight’ at JP Morgan this morning, lowering the price target on the shares to $47 from $53. Separately, Piper Jaffray, Nomura and MKM Partners came out with downgrades this morning, lowering the price target on the shares to $52 from $54, $50 from $56 and to $48 from $52, respectively.

In the past 52 weeks, shares of the Redmond, Washington-based company have traded between a low of $35.69 and a high of $50.05 and are now at $43.00.

3D Systems Corporation (DDD) lost $1.06 to $29.14 in mid-day trading today. Approximately 2.11M shares have already changed hands, compared to the stock’s average daily volume of 2.94M shares. The name was downgraded to ‘Hold’ from ‘Buy’ at Jefferies. Separately, RBC Capital Markets came out with a downgrade this morning, lowering the price target on the shares to $40 from $45.

DDD currently prints a one year loss of about 62.19% and a year-to-date loss of around 8.12%.

Shares of KLA-Tencor Corporation (KLAC) were downgraded to ‘Neutral’ from ‘Outperform’ by Exane BNP Paribas on Tuesday.

KLAC shares are currently priced at 25.09x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s 14.02x earnings multiple. The company’s current year and next year EPS growth estimates stand at -18.60% and 50.90% compared to the industry growth rates of 22.00% and 29.10%, respectively. KLAC has a t-12 price/sales ratio of 3.69. EPS for the same period registers at 2.55.

KLAC currently prints a one year return of about 34.79% and a year-to-date loss of around 6.94%.

Analysts at Raymond James are out with a report this morning downgrading shares of Procera Networks, Inc. (PKT) to ‘Market Perform’ from ‘Outperform’ rating due to recent share out-performance.

PKT, currently valued at $180.34M, has a median Wall Street price target of $8.75 with a high target of $10.00. Approximately 239K shares have already changed hands, compared to the stock’s average daily volume of 358.33K.

In the past 52 weeks, shares of the Fremont, California-based company have traded between a low of $5.60 and a high of $12.70 with the 50-day MA and 200-day MA located at $7.59 and $8.44 levels, respectively. Additionally, shares of Procera trade at a P/E ratio of -1.68 and have a Relative Strength Index (RSI) and MACD indicator of 61.66 and +0.64, respectively.

PKT currently prints a one year loss of about 21.80% and a year-to-date return of around 30.74%.

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