MagnaChip announced Tuesday that the Audit Committee of the company's Board of Directors determined that MagnaChip incorrectly recognized revenue on some transactions and MagnaChip would restate its financial statements. Numerous law firms subsequently announced investigations into the company.
The law firms include Pomerantz Law Firm, Law Offices of Howard G. Smith, The Law Firm of Wohl & Fruchter LLP, Wites & Kapetan, The Rosen Law Firm, Johnson & Weaver LLP, Block & Leviton LLP, Holzer & Holzer LLC, Girard Gibbs and Levi & Korsinsky LLP.
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TheStreet Ratings team rates MAGNACHIP SEMICONDUCTOR CORP as a "buy" with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate MAGNACHIP SEMICONDUCTOR CORP (MX) a BUY. This is driven by several positive factors, 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 notable return on equity, attractive valuation levels, largely solid financial position with reasonable debt levels by most measures and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income."