The downgrade comes from the book runner of the Innolux selling of Himax shares group. IMHO they may have customers interested in Himax and this may be the opportunity before earnings to address their customers desires to own Himax shares. With the reasons they gave to give a $12 target way below any others targets, it seems just a bit odd to me on the timing. Investors need to look into this downgrade a bit to figure out the agenda. If they are wrong and earnings shine, their credibility will come into question IMHO.
Who is Charden? Never heard of them but they are trying to make a name for themselves by being contrarry. As far as earnings. They will be close to 9c and all there major customers declining 15% is very doubtful and hard to believe. Only large panel (as usual) will show weakness. Innolux is out of the picture so I don't know where he gets that data. He sounds like he is using last years data.
The question is did they meet with the management of HIMX or they just collect information from other companies. Some companies they cited did not even report their results yet. So it is doubtful, their opinion will be correct IMHO.