Will Sierra Wireless' Q1 Results Kick-start Its Comeback?

Shares of Sierra Wireless (NASDAQ: SWIR) have been in fine form this year, rising over 60% thanks to a massive stock-price bump after its fourth-quarter results beat Wall Street expectations. However, the Internet of Things (IoT) specialist has lost steam in recent weeks after a downgrade from Raymond James analyst Steven Li.Downgrading the stock to "market perform" from "outperform," Li believes that Sierra Wireless' recent contract wins are going to put pressure on its margin. But investors shouldn't worry, as the company's cost management is impeccable, and Li himself has boosted his price target on the stock by 27%.A strong first-quarter earnings report from Sierra on May 4 could boost shares once again.

 

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