This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Atmel Doesn't Need Apple to Survive

NEW YORK ( TheStreet) -- For quite some time I have liked semiconductor giant Atmel (ATML) as a company and a stock. However, the challenge has been getting others to appreciate the value it presents.

It seems that for all of the attention semiconductor stocks have enjoyed so far this year -- Qualcomm (QCOM), ARM Holdings (ARMH), Nvidia (NVDA) -- Atmel can't seem to get any love. Is the disrespect deserved?

That it is not in the "halo" of tech giant Apple (AAPL) continues to hurt Atmel. It is considered "boring." But investors need to ask themselves when that ever mattered on balance sheets.

It seems many insist on confusing "flare" with "value." While Atmel does lack the flamboyance of Intel (INTC) and Qualcomm, it does present many other advantages not shared by its peers, many of which the market continues to unfairly discount.

But as the underlying premise of investing remains finding value, investors must find opportunities that may not be immediately apparent. Often this includes sacrificing flare.

Atmel is able to compensate for its lack of Apple exposure by competing in several other areas in the non-mobile devices market. Atmel is a leader in microcontrollers, programmable logic devices and a wide range of proprietary system-on-chips and non-volatile memory chips.

The company is also gaining significant market share in other product categories, particularly in the gadget market with its line of maXTouch controllers. Many of these are key components in the touch-screen interfaces on several devices from Nokia (NOK) and devices that run on Google's (GOOG) Android platform.

So while at present Atmel might be out of Apple's circle of friends, the company is still relevant to those with whom Apple competes.

With Intel due to start its new marketing campaign upon the release of Microsoft's (MSFT) Windows 8 operating system and Qualcomm continued dominance in Apple products, Atmel will find it a challenge to gain some momentum of its own.

Again, the company does not need Apple to do it. It just needs to find more growth opportunities in the areas where it is already successful such as those I've mentioned.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
ATML $8.14 0.25%
AAPL $95.03 -2.90%
FB $116.73 7.20%
GOOG $691.02 -2.10%
TSLA $247.54 -1.60%


Chart of I:DJI
DOW 17,830.76 -210.79 -1.17%
S&P 500 2,075.81 -19.34 -0.92%
NASDAQ 4,805.2910 -57.85 -1.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs