Shares of Corsair Gaming, Inc. (CRSR) are set to plummet 13.40% in pre-market trading on Wednesday, following a series of negative developments that have shaken investor confidence. The gaming hardware manufacturer's stock is under pressure due to disappointing third-quarter 2025 financial results, reduced full-year guidance, and subsequent analyst downgrades.

Corsair Gaming reported Q3 revenue of $345.763 million, falling short of the analyst consensus estimate of $354 million, despite a 14% year-over-year increase. The company posted a net loss of $10.392 million for the quarter, with adjusted earnings per share of $0.06, significantly below the analyst expectations of $0.09. This 29.41% earnings miss has raised concerns about the company's near-term prospects. Adding to the negative sentiment, Corsair Gaming narrowed its full-year 2025 revenue guidance to $1.425 billion - $1.475 billion, down from the previous forecast of $1.4 billion - $1.6 billion, citing a conservative outlook for Q4 primarily due to a tight DDR5 memory market.

In response to these developments, several analysts have adjusted their outlook on Corsair Gaming. Wedbush cut its target price to $9 from $13, while B. Riley lowered its price target to $9 from $10, maintaining a Neutral rating. Craig-Hallum also reduced its price target to $10 from $12 but kept a Buy rating on the shares. The market's reaction suggests that investors are concerned about Corsair's ability to meet its financial targets and return to profitability in the near term, despite the company's reported improved margins and increased inventory to support anticipated Q4 holiday demand.