Nomura Securities Reiterates a 'Buy' on Atmel (ATML); Q2 Review: Touch Lightly
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Price: $7.31 +2.38%
Rating Summary:
15 Buy, 5 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Rating Summary:
15 Buy, 5 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Trade ATML Now!
Nomura Securities reiterates a 'Buy' on Atmel (NASDAQ: ATML) price target of $8.00 (from $9.00).
Analyst, Sidney Ho, said, "Atmel lowered its full year touch revenue guidance, which we believe is mostly anticipated. Q2 revenue of $368mn (up 3% q/q) was lower than our forecast of $372mn, but was offset by higher gross margin. Reduced visibility is driving a conservative outlook for 2H 2012. Q3 outlook of flat revenue (mid-point) was below the street’s expectation of up 3-5%. Touch revenue came in light in Q2. Due to lower revenue outlook, the company lowered its gross margin target for Q4 from 48% to 45-46%. That said, the company in Q2 reduced headcount in Europe and Asia, aimed at $10mn of savings in 2013. At 10x P/E and 1.4x EV/S (2-yr low), we think the stock reflects most of the bad news."
F12E EPS from $0.49 to $0.38; F13E EPS from $0.80 to $0.60
For an analyst ratings summary and ratings history on Atmel click here. For more ratings news on Atmel click here.
Shares of Atmel closed at $5.86 yesterday, with a 52 week range of $5.80-$12.56.
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Analyst, Sidney Ho, said, "Atmel lowered its full year touch revenue guidance, which we believe is mostly anticipated. Q2 revenue of $368mn (up 3% q/q) was lower than our forecast of $372mn, but was offset by higher gross margin. Reduced visibility is driving a conservative outlook for 2H 2012. Q3 outlook of flat revenue (mid-point) was below the street’s expectation of up 3-5%. Touch revenue came in light in Q2. Due to lower revenue outlook, the company lowered its gross margin target for Q4 from 48% to 45-46%. That said, the company in Q2 reduced headcount in Europe and Asia, aimed at $10mn of savings in 2013. At 10x P/E and 1.4x EV/S (2-yr low), we think the stock reflects most of the bad news."
F12E EPS from $0.49 to $0.38; F13E EPS from $0.80 to $0.60
For an analyst ratings summary and ratings history on Atmel click here. For more ratings news on Atmel click here.
Shares of Atmel closed at $5.86 yesterday, with a 52 week range of $5.80-$12.56.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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