UPDATE: Wedbush Equity Research Lowers Target to $11 on Atmel

Wedbush Equity Research maintains its Outperform rating on Atmel ATML and lowers its price target to $11, down $1, following the company's negative pre-announcement. Wedbush Equity Research comments, "Atmel issued a press release last night announcing its preliminary Q4 revenue of $384MM (-20% Q/Q) down from its prior guidance range of -16% to -12% Q/Q. Atmel noted that while it was going through year end closing, revenue appeared to be about $395MM below the low end of its guidance range, but would be further impacted by another $11MM due to the rescheduling of payments from an Asian Distributor. While we believe Atmel will get paid, we still look for the company to likely face a challenging Q1 impacted by typical seasonality and the ongoing tablet inventory correction impacting maXTouch shipments." ATML closed at $10.10 a share yesterday.