UPDATE 1-RESEARCH ALERT-AmTech downgrades semiconductor sector

venerdì 12 settembre 2008 18:41

 (Recasts; adds details)
 Sept 12 (Reuters) - American Technology Research cut its
rating on the semiconductor sector to "underweight" from
"overweight," saying a shift in demand for low-priced products
in handset and personal computers markets may pressure revenue
and gross margins.
 A slowdown in demand is creating less urgency to introduce
new products, which will limit semiconductor content per device
and weigh on average selling prices as legacy products are
discounted to maintain share, the brokerage said.
 The brokerage downgraded nine semiconductor companies,
including Intel Corp (INTC.O: Quotazione) and Analog Devices Inc ADI.N.
 However, it upgraded Micrel Inc MCRL.O to "buy" from
"neutral." "We recommend that investors buy this small-cap
semiconductor growth and restructuring story on the dip now,"
the brokerage said.
 Following are the ratings and price target changes by the
brokerage: COMPANY                          RATING        
                           NEW      OLD      NEW     OLD
Intel                         Neutral  Buy      $20     $27.50
Analog Devices ADI.N        Neutral  Buy      $31     $37
Linear Technology LLTC.O    Neutral  Buy      $32     $41
Nvidia (NVDA.O: Quotazione)               Neutral  Buy      $11     $26
Cypress Semiconductor CY.N  Neutral  Buy      --      --*
Micron Technology MU.N      Neutral  Buy      $5.50   $9
Maxim Integrated MXIM.PK    Neutral  Buy      $21     $27
Semtech (SMTC.O: Quotazione)              Neutral  Buy      $14     $20
Sandisk SNDK.O              Neutral  Buy      $18     $25
Micrel MCRL.O               Buy      Neutral  $10     $10.50
 *The brokerage said it set a post-spin price target of $9
on Cypress, while pre-spin price target remains $35.
 (Reporting by Purwa Naveen Raman in Bangalore; Editing by
Deepak Kannan)