Needham analyst James Ricchiuti downgraded IPG Photonics to Hold from Buy, citing signs of a "stagnant" global manufacturing environment along with continued competitive concerns. The analyst notes that while investors cheered last week's partial China trade deal, he is "not convinced" that the underlying demand picture in some of the company's key end markets will be changed "meaningfully". Ricchiuti adds that the "unsettled" global macro environment has led to bookings in the core materials processing business during Q3 that will be insufficient to support his prior expectations for revenues in Q4 and in 2020.