NEW YORK (TheStreet) -- Shares of Cypress Semiconductors (CY) - Get Report are rising 2.4% to $11.96 in after-hours trading on Thursday after the company reported 2016 second quarter revenue that beat estimates and gave upbeat guidance for the third quarter.

After today's closing bell, the San Jose, CA-based semiconductor company reported revenue of $456.4 million, topping Wall Street's estimates of $455.2 million. 

Adjusted earnings were 12 cents per diluted share, which met analysts' expectations.

For the third quarter, the company expects earnings per diluted share between 12 cents to 16 cents on revenue of $510 million to $540 million.

Wall Street is looking for the company to report earnings of 15 cents per share on revenue of $475.15 million.

Cypress recently purchased Broadcom's (BRCM) wireless Internet of Things business in an all-cash acquisition valued at $550 million.

"The acquisition of Broadcom's wireless IoT business marks another key milestone in Cypress's evolution and underscores our strategy to invest in high-growth markets," CFO Thad Trent said in a statement.

"In the third quarter, we expect more than half our revenue will come from markets growing faster than the overall semiconductor industry," he added.

Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.

TheStreet Ratings rated this stock as a "hold" with a ratings score of C.

The company's strengths can be seen in multiple areas, such as its robust revenue growth, increase in net income and good cash flow from operations. However, TheStreet Ratings also finds weaknesses including disappointing return on equity and a generally disappointing performance in the stock itself.

You can view the full analysis from the report here: CY

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