UPDATE: FBR Reiterates Outperform Rating, Lowers PT on Atmel Corporation

In a report published Monday, FBR & Co. reiterated its Outperform rating on Atmel Corporation ATML, but lowered its price target from $10.00 to $8.50. FBR noted, “Business trends at Atmel seem difficult even despite the firm's weak 2Q12 financial guidance, with touch controller market share losses building, with Win8 Ultrabook and touch contribution questionable in 2012, and with management still not backing off its annual touch revenue forecast of $375 million. Additionally, industrial and automotive deterioration in response to macro weakness and China weakness are now incremental risks to the slope of Atmel's recovery in its microcontroller business.” Atmel Corporation closed on Friday at $6.26.