Analog Industry Update (AATI, ATHR, CRUS)

Analysts at the Thomas Weisel Partners Group Inc. (NASDAQ: TWPG) have released a report on the analog industry. According to the report, analog & mixed signal (AMS) IC billings of $3.07 billion for November represent a 1.4% month-over-month decrease, as compared to its 3.1% month-over-month seasonal decrease.

The aggregate average selling price of $0.46 for November represents a 0.2% month-over-month decrease in the industry for Advanced Analogic Technologies Incorp. (NASDAQ: AATI), Atheros Communications Inc. (NASDAQ: ATHR) and Cirrus Logic Inc. (NASDAQ: CRUS). The analog industry is tracking towards a 10.7%-11.5% billing decline over 2008 with December data yet to be released, according to the report. This will be the second worst performance after 2001.

While there was a drop in demand in the 4Q08 and 1Q09, the industry saw demand recover throughout the remainder of 2009. Analysts at Thomas Weisel believe that the recovery in the analog industry will continue, aided by government stimulus actions and global economic recovery. Analysts have an Overweight rating for Advanced Analogic Technologies Incorp., Atheros Communications Inc. and Cirrus Logic Inc.