Benzinga | Sep 29, 2021 08:38AM EDT

Why Bernstein Downgraded NXP Semiconductors To Market Perform - Read Why

* Bernstein analyst Stacy Rasgon downgraded NXP Semiconductors NV (NASDAQ:NXPI) to Market Perform from Outperform with a price target of $230, down from $245, implying an 11.55% upside.

* Rasgon is "growing somewhat uncomfortable" with the stock's valuation and automotive end market.

* It is a "clear certainty that auto semis are 'over shipping auto production," Rasgon tells investors in a research note.

* Rasgon believes NXP's risk profile looks balanced with the stock up 30% year-to-date.

* The tech stocks led by the Nasdaq Composite Index took a beating on September 28 as the surging bond yields triggered an industrywide selloff.

* Price Action: NXPI shares closed lower by 4.85% at $206.19 on Tuesday.