FormFactor (FORM) is down roughly 3% in today’s session after Citigroup downgraded the shares to Neutral from Buy and lowered its price target, triggering incremental selling pressure tied to shifting analyst sentiment.

A downgrade from a major sell-side firm can reset near-term expectations even when company fundamentals have recently been framed positively, as it signals a reassessment of valuation and risk/reward. With the stock already prone to sharp moves, the rating change is acting as a catalyst for traders to reduce exposure.

FormFactor recently posted record quarterly revenue and issued guidance pointing to continued momentum, while also flagging GAAP impacts from restructuring-related costs; that mix can amplify disagreement on how much earnings power is sustainable versus timing-related. Investors now have a near-term catalyst calendar that includes the company’s planned May 11 investor/analyst day, where management has said it expects to discuss strategy and an updated target financial model.