Wedbush Downgrades ClearOne to 'Hold'
Wedbush Morgan downgraded ClearOne Communications (CLRO ) to hold from buy.
Analyst Scott Sutherland says he had expected a weak first quarter, but not to this degree. He thinks the magnitude of the shortfall primarily is the result of inventory channel reductions, the elimination of product lines, and the company's unwillingness to discount products to make its sales targets in a weak economy. Sutherland thinks ClearOne needs to focus on integrating its businesses and give resellers more clarity to work through channel conflicts.