UPDATE: Topeka Capital Markets Downgrades Cypress Semiconductor NV to Hold, Lowers PT Following Weaker-Than-Expected 3Q13 Guidance Announcement

In a report published Tuesday, Topeka Capital Markets analyst Suji De Silva downgraded the rating on

from Buy to Hold, and lowered the price target from $15.00 to $11.00. In the report, Topeka Capital Markets noted, “Cypress preannounced weaker than expected 3Q13 guidance this morning, with a lower revenue outlook reflecting a program push out at a leading Asia handset customer coupled with continued broader Asia handset inventory adjustments. Reflecting seasonality and continued year-end inventory reductions, CY also guided for a seasonal 4Q13 revenue decline and lower gross margin, both below our model expectations. We are adjusting our CY model to now reflect a more intermediate-term revenue recovery. As a result, we are reducing our price target from $15 to $11 and downgrading our rating from Buy to Hold.” Cypress Semiconductor NV closed on Monday at $10.80.