Deutsche Bank analyst Sidney Ho lowered his price target for Smart Global to $30 from $36 but keeps a Buy rating on the shares. Amid recent concerns related to the changes in Brazil's local content rules, the company reiterated its prior view that the changes have no impact on its Brazil businesses, Ho tells investors in a research note. However, Smart Global was negatively impacted by a decline in demand for its supply chain service for manufacturer customers, which is a reflection of weak demand in the enterprise and networking end markets, contends Ho. Nonetheless, the analyst believes the current valuation underappreciates Smart Global's strategic decision to diversify its business away from the "volatile" Brazil and memory markets.