Ashraf Eassa
Long/short equity, contrarian, independent research, tech

Atmel Offers A Very Compelling Risk/Reward

As a financial writer who covers a wide swath of names, it is always heartening to revisit a call that has worked out largely as planned. I first wrote about Atmel (NASDAQ:ATML), a leading microcontroller vendor, just under a year ago when the shares traded for a mere $4.70 apiece. Despite the robust run, I'm still a fan of the company/stock and believe that there's still some real upside left, particularly as I'm not entirely convinced that the Street truly "buys" the long thesis just yet.

If I'm right, the shares are worth at least $11 today, and if I'm wrong, I see downside risk to $6.44/share, which suggests a risk of 16% for a reward of 44%....

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