Needham & Company Maintains a 'Hold' on Atmel (ATML); Long-Term Challenges
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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!
Needham & Company maintains a 'Hold' on Atmel (NASDAQ: ATML).
Analyst, Rajvindra S. Gill, said, "We maintain our Hold on ATML following a 2Q miss and 3Q top line guidance that was 9% (or $36Mm) below our expectations. Importantly, ATML lowered its 2012 maxTouch forecast by 10-15% citing market share loss, lower demand in handsets and lower ASPs. We think the capacitive touch environment will remain challenged in 2013, especially in handsets, and we are skeptical that ATML can grow maxTouch revenues next year given the lower ASP mix. While ATML has made solid progress in non-touch MCUs (8-bit/32-bit), the growth rate has slowed down considerably due to the primary focus on the industrial end vertical and ceiling on market share gains (went from #8 player to #3). With the gross margin profile coming down significantly in 2013, we continue to see risk for the shares and recommend investors remain on the sidelines."
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, Rajvindra S. Gill, said, "We maintain our Hold on ATML following a 2Q miss and 3Q top line guidance that was 9% (or $36Mm) below our expectations. Importantly, ATML lowered its 2012 maxTouch forecast by 10-15% citing market share loss, lower demand in handsets and lower ASPs. We think the capacitive touch environment will remain challenged in 2013, especially in handsets, and we are skeptical that ATML can grow maxTouch revenues next year given the lower ASP mix. While ATML has made solid progress in non-touch MCUs (8-bit/32-bit), the growth rate has slowed down considerably due to the primary focus on the industrial end vertical and ceiling on market share gains (went from #8 player to #3). With the gross margin profile coming down significantly in 2013, we continue to see risk for the shares and recommend investors remain on the sidelines."
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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