According to stock analysts, Himax isn’t the place to invest your money, at least, not for a few more quarters. The reason being that the part supplier for Microsoft’s HoloLens augmented reality headset has been dwindling on shipments.
Nasdaq reports that the expert tips dropped Himax Technologies, Inc. (HIMX) in the market as low as 9.8% on Tuesday morning before recovering at only a 6.7% loss. This isn’t the first time that Himax saw a large drop in stock. Another incident occurred in September where they fell 19%.
Even in lieu of the fluctuating investors, Himax CEO Jordan Wu seems to be positive that the parts manufacturer will be seeing a long-term growth which analysts suspect will be in the last half of 2017. Wu also emphasized last month in their Q3 report that the company was shifting to focus on their “AR customer’s shift in focus to the development of future generation devices” as their current product lines decline in sales.
This could place them in line to be a good buy for future profit with their stocks lowered to nearly $7 (down from $10 earlier this week). Unfortunately, investors don’t seem too keen on playing with Himax Technologies right now. According to Nasdaq’s report, well-respected stock advisors don’t even consider it on the ‘Buy Right Now’ list. Likely, Himax will see its rewards as Microsoft HoloLens continues to pick up steam.Further reading: Himax, HoloLens, Microsoft, Stock