UPDATE: Topeka Capital Markets Initiates Coverage On Applied Micro on Growth Opportunity

In a report published on Thursday, Topeka Capital Markets analyst Suji De Silva initiated coverage on

with a Hold rating and a price target of $8. In the report, Topeka Capital Markets stated, "While we are encouraged by AMCC's improving profitability and growth opportunity across data center networking and servers, we believe these expectations are embedded at current levels. We are nonetheless optimistic on longer-term growth prospects and would wait for a more favorable entry point prior to getting aggressive on the shares." Applied Micro closed on Thursday at $7.84.