IPG Photonics' stock experienced a sharp decline of 5.48% during intraday trading on Friday, marking a significant downturn for the laser technology company.

The sell-off appears to be primarily driven by a rating downgrade from Raymond James, which cut its recommendation on IPG Photonics from "Strong Buy" to "Outperform." Despite simultaneously raising its price target from $97 to $180, the reduction in the investment rating likely triggered negative market sentiment and prompted selling pressure.

Adding to the mixed signals, Stifel also raised its price target for IPG Photonics from $92 to $165, indicating that while analysts see higher valuation potential, the downgrade in rating overshadowed the positive target adjustments in the market's immediate reaction.