Atmel (ATML) Falling on High Volume

Atmel Corporation (ATML) is trading at an unusually high volume Thursday with 16.3 million shares changing hands. It is currently at more than three times its 3-month average volume.

ATML dipped a couple of points in early trading after the company reported second-quarter earnings that came in line with Wall Street estimates. Non-GAAP EPS for Q2’14 registered at $0.09 per share, in-line with estimates of $0.09. Revenues rose 2.2% year-over-year to $355.5 million but missed the Street’s $356.36 million prediction. Following the company’s mix results, analysts at Oppenheimer lifted their price target on shares of Atmel Corp to $10 from $9 in a research report issued to clients on Thursday, noting among other things that the tech company has reduced its dependence on mobile handset-related MCU revenues and is benefiting from wider adoption of touch interface outside of mobile handsets.

Speaking from a valuation-measure perspective, shares of Atmel Corporation have a trailing-12 P/E of 122.77, a forward P/E of 12.81 and a P/E to growth ratio of 1.17. Price/sales for the t-12 period is at 2.60 while EPS is at $0.07. The company has a market cap of $3.36 billion and a median Wall Street price target of $9.63 with a high target of $11.00.

Profitability-wise, Atmel’s t-12 profit margin currently stands at 1.99% while operating ones are at 5.98%. The company reported $255 million in cash vs. $0 in debt in its most recent quarter. ATML is currently trading down 61 cents (-7.21%) at $7.98, printing a one year return of about 8% and a year-to-date return of around 1.34%.

The chart below shows where the equity has traded over the last 52 weeks, with the 50-day and 200-day MAs included.

Atmel Corporation designs, develops, manufactures, and sells semiconductor integrated circuit (IC) products. The company was founded in 1984 and is headquartered in San Jose, California.

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