UPDATE: BWS Financial Downgrades Sigma Designs to Hold, Lowers PT

In a report published Friday, BWS Financial downgraded its rating on Sigma Designs (NASDAQ: SIGM) from Buy to Hold, and lowered its price target from $9.00 to $6.00.

BWS Financial noted, “The IPTV promise at Sigma Designs has disappeared and with it the most likely revenue growth catalyst. SIGM is no longer anticipating a surge in service provider roll-out of next generation IPTV processors to occur in the second half of the calendar year...We had been carrying a Buy Rating on SIGM on the expectation IPTV design wins would take place in the second half of the year with Z-Wave providing a secondary boost to revenue. SIGM is now squashing hopes of IPTV for the time being, and Z-Wave revenue growth has been lumpy. “

Sigma Designs closed on Thursday at $6.17.