NEW YORK (TheStreet) -- Shares of Cypress Semiconductor (CY) - Get Report were falling 1.7% to $14.19 on heavy trading volume Thursday as semiconductor stocks fell for a second day.

About 7 million shares of Cypress Semiconductor were traded by 3:30 p.m. Thursday, above the company's average trading volume of about 6.6 million shares a day.

Semiconductors stocks were falling after SanDisk (SNDK) lowered its first quarter revenue forecast. SanDisk said it now expects revenue of about $1.3 billion for the first quarter. The chipmaker previously forecasted first quarter revenue in the range of $1.4 billion to $1.45 billion. Analysts expect the company to report earnings of $1.44 billion for the quarter.

The lower revenue forecast is due to "certain product qualification delays, lower than expected sales of enterprise products and lower pricing in some areas of the business," SanDisk said. The company also lowered its full year 2015 revenue forecast but did not provide a definite range for its current forecast.

TheStreet Ratings team rates CYPRESS SEMICONDUCTOR CORP as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:

"We rate CYPRESS SEMICONDUCTOR CORP (CY) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and revenue growth. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

• CYPRESS SEMICONDUCTOR CORP reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. This trend suggests that the performance of the business is improving. During the past fiscal year, CYPRESS SEMICONDUCTOR CORP turned its bottom line around by earning $0.11 versus -$0.33 in the prior year. This year, the market expects an improvement in earnings ($0.62 versus $0.11).
• The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Semiconductors & Semiconductor Equipment industry. The net income increased by 124.7% when compared to the same quarter one year prior, rising from -$14.21 million to $3.50 million.
• The gross profit margin for CYPRESS SEMICONDUCTOR CORP is rather high; currently it is at 56.36%. It has increased from the same quarter the previous year. Despite the strong results of the gross profit margin, CY's net profit margin of 1.90% significantly trails the industry average.
• The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. In comparison to the other companies in the Semiconductors & Semiconductor Equipment industry and the overall market, CYPRESS SEMICONDUCTOR CORP's return on equity is significantly below that of the industry average and is below that of the S&P 500.
• The debt-to-equity ratio of 1.17 is relatively high when compared with the industry average, suggesting a need for better debt level management. Along with the unfavorable debt-to-equity ratio, CY maintains a poor quick ratio of 0.71, which illustrates the inability to avoid short-term cash problems.
• You can view the full analysis from the report here: CY Ratings Report