As previously reported, Stifel analyst Tore Svanberg downgraded Alpha & Omega to Sell from Hold as he sees rising operational risks, contending that the company's recent regulatory filings highlight its worsening free cash flow headwinds and increasingly limited balance sheet flexibility. Given the company's growing reliance on debt financing, Svanberg predicts Alpha & Omega will "substantially curtail" its previously active share buyback program over the next 9-12 months, he tells investors. He lowered his price target on A&O shares to $13 from $16.