NEW YORK (TheStreet) -- Shares of Atmel (ATML) were falling 6.43% to $8 after-hours Tuesday after the microcontroller and touch solutions provider missed analysts' estimates for earnings and revenue in the second quarter and issued a light guidance for the third quarter.
Atmel reported earnings of 8 cents a share for the second quarter, below analysts' estimates of 10 cents a share for the quarter. Revenue fell 13.8% year over year to $306.3 million, below analysts' estimates of $318.98 million.
The semiconductor company said it expects revenue of $283 million to $303 million for the third quarter. Analysts expect the company to report revenue of $336.82 million for the third quarter.
"Last quarter we delivered solid operating margins and earnings despite a weaker global semiconductor industry environment and the adverse impact of foreign exchange rates," President and CEO Steve Laub said in a statement. "Our attractive product portfolio and resilient operating model position us for meaningful margin expansion and increased cash generation once the industry resumes growth."
TheStreet Ratings team rates ATMEL CORP as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate ATMEL CORP (ATML) a BUY. This is driven by a few notable strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. 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, expanding profit margins and notable return on equity. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself."
You can view the full analysis from the report here: ATML Ratings Report