Northland analyst Gus Richard downgraded Himax to Market Perform from Outperform and cut its price target to $8 from $12 due to the push out in 3-D sending, weakness in small/medium display, and lower WLO forecasts. Richard believes the facial recognition application is not ready for mobile payment in China, which caused Himax lead customer, Xiaomi, to push out the launch of a phone with 3-D sensing to September from May. As a result, the analyst cut this product estimate for CY18 to $40M from $76M. Note Nomura also downgraded Himax shares this morning to Neutral from Buy.