Tag Archives: Cirrus Logic

Business, Finance, Occupation & Industry

8 Gut-Wrenching Months for Apple: The Downs

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By Anders Bylund, The Motley Fool

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Apple shares have taken a beating lately, sinking 38% since the start of October. Here’s a look at the four darkest moments of this sustained bear attack.

AAPL data by YCharts

Let’s start at the beginning, with the entry marked “1” in the preceding chart.

Apple presented the iPad Mini on Oct. 23, as expected. But the company also introduced an updated iPad at the same time. The last iPad refresh was less than six months old at the time, and the accelerated product cycle raised eyebrows — and sent shares plunging 3.3% in a single day. As for the Mini, I was left wondering why the tablet was priced at such an awkward level. At $329 a pop, the iPad Mini cost 65% more than an Amazon.com Kindle Fire of the same size, and it was just an 18% discount to the much larger full-sized iPad.

In early December, market research firm IDC reported that Apple was losing market share in the tablet arena. Worries about the then-upcoming fiscal cliff already weighed on the world’s largest stock (in terms of market cap), and the sinking tablet share released it all as a 6.4% one-day price drop.

Apple’s first-quarter rolled around in January, and it confirmed the bearish arguments. iPhone sales turned out to be slower than analysts had expected, and there was a downright unhealthy shift from latest-and-greatest to older-and-cheaper handsets in this holiday quarter. Apple’s margins are under pressure, and its formerly unstoppable sales growth is slowing down. The iPad Mini undermined Apple’s average selling prices but didn’t appear to boost unit sales much. Shares fell a hair-raising 12.4% that day.

That brings us to the fourth and final stop on this whirlwind tour. The week before Apple’s next earnings report, audio-chip supplier Cirrus Logic scared the pants off many Cupertino investors with an earnings miss and very low top-line sales. Apple is Cirrus’ largest customer by far, and it was easy to connect the dots. Management blamed the miss on “a decreased forecast for a high volume product,” and Apple shares plunged another 5.5% overnight. When Apple’s report confirmed the bearish action again, the bad news had already been priced in. That’s why the stock didn’t sink even further this week.

Apple’s high-margin business model is falling apart at the seams, and I suddenly don’t feel particularly contrarian for having a thumbs-down CAPScall on Apple’s stock.

There is a debate raging as to whether Apple remains a buy. The Motley Fool’s senior technology analyst and managing bureau chief, Eric Bleeker, is prepared to fill you in on both reasons to buy and reasons to sell Apple and what opportunities are left for the company (and your portfolio) going forward. To get instant access to his latest thinking on Apple, simply click here now.

Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

After Breaking $400, Is Apple Headed to $320?

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By Evan Niu, CFA, The Motley Fool

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The Apple sell-off today has been utterly hopeless, with shares breaking through $400 for the first time in more than a year. The last time shares were worth less than four Benjamins was before Christmas 2011. Still, is even more pain in store? Could Apple head to $320 next?

That’s the case that Creative Global is laying out, with founder and analyst Carlo Besenius adding insult to injury to Apple investors today. Besenius reads the charts, which tell him that $380 is a support level from a technical analysis standpoint, but he thinks the true bottom is even lower. Decelerating sales, deteriorating margins, and intensifying competition could push shares all the way down to $320 in the coming months.

Besenius’ claim to fame is when he downgraded Apple to “sell” last October before shares cratered from all-time highs. Specifically, shares were trading around $685 at the time of his call, and two months later he assigned the Mac maker a price target of $420. In February, Besenius further dropped his price target to $320, so today’s research note is more of a reiteration of that previous premonition.

I’d normally say that at $320, Apple would be trading at 7.3 times earnings or that its cash position would equal 46% of its market cap, but recent history shows that Apple’s fundamentals are futile, since the stock trades purely on momentum and emotion these days.

The news that Cirrus Logic expects lower iDevice volumes has caused both companies to plunge today. The data coming out of the audio-chip specialist lends some credibility to Besenius’ pessimism, since Apple was responsible for 91% of sales in the previous quarter. iPhone weakness could definitely manifest itself in Cirrus Logic‘s results.

Not long ago, the idea that Apple might trade at $320 would have seemed ludicrous, in part because of the fundamentals. These days, anything seems possible, as Apple’s upcoming earnings and difficult June guidance could further terrify investors into dumping their shares, while fundamental valuation will continue to be meaningless.

One of these days, fundamentals will matter again. In preparation of that day, investors are wondering whether Apple remains a buy from a fundamental perspective. The Motley Fool’s senior technology analyst and managing bureau chief, Eric Bleeker, is prepared to fill you in on both reasons to buy and reasons to sell Apple and what opportunities are left for the company (and your portfolio) going forward. To get instant access to his latest thinking on Apple, simply click here now.

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From: http://www.dailyfinance.com/2013/04/17/after-breaking-400-is-apple-headed-to/

News, Politics, Government

What's Going On With Apple's Stock?

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By Greg Satell, Contributor

afghanistan map SC US military deaths in Afghanistan at 2,070

is having another bad week and their stock is down more than 5% this morning. This time, the proximate cause is an announcement from Cirrus Logic, a key Apple supplier, stating that earnings will come in well below expectations and, by association, investors are now expecting Apple to come in low again too. Lately, it seems like everybody wants to beat up on Apple (me included – see here and here).  After a decade during which the company could do no wrong, now it can seemingly do no right. However, while it’s true that Apple has its problems (and serious ones at that) it is still a great company and a great business.  I think anybody taking a clear headed view of Apple has to take into account three factors: The Products:  I’m deeply embedded in the Apple ecosystem and very happy with their products.  I love my iPhone, my iPad and my Macbook Air is far more reliable than any PC I ever worked on (I’m not so crazy about my Apple TV, but it works well enough).  For me, Apple products are worth the premium, at least for now. I do find myself somewhat envious about what’s going on in the Android world.  I’d like to have something like Google Now and don’t understand why Apple is the only major smartphone manufacturer to not have a model with NFC.  It seems to me by doing so, they are slowing a lot of innovation in the industry. So I think about switching sometimes, but every time I do, I remember about the Apple store and the Genius Bar.  By fully embedding myself in the Apple ecosystem, I’m sure that whatever problems I might have (and I did have one particularly nasty hardware problem), will be handled easily, effectively and conveniently.  I wouldn’t want to give that up. The Management:  Steve Jobs made Apple a special company.  Now that he’s gone, it’s clear that Apple has lost a step. However, its also important to remember that current management made Apple a very good company.  CEO Tim Cook is an outstanding operational executive and Jony Ive is the design genius behind the beautiful products that catapulted Apple to becoming the most valuable company on the planet (at least for a short time). So while current management has shown no sign of a vision for the future, they show every sign of competence. The Stock: Apple’s valuation (Disclosure: I’m an indirect investor through a fund) has fallen over 40% from its high because its become clear that we have no reason to expect the growth the company has delivered in the past.  This is a completely normal market reaction. However, Apple’s situation is somewhat abnormal because there was never any growth premium built into the stock price.  Even during its rapid rise, it still traded at a discount to the S&P.  It was earnings, not irrational exuberance, that made Apple so valuable. So while I’m as skeptical as anyone about Apple’s future, the

From: http://www.forbes.com/sites/gregsatell/2013/04/17/whats-going-on-with-apples-stock/

Business, Finance, Occupation & Industry

Why Cirrus Is Poised to Bounce Back

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By Brian D. Pacampara, The Motley Fool

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Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool’s free investing community, audio chip specialist Cirrus Logic has earned a coveted five-star ranking.

With that in mind, let’s take a closer look at Cirrus and see what CAPS investors are saying about the stock right now.

Cirrus facts

Headquarters (founded)

Austin, Texas (1984)

Market Cap

$1.5 billion

Industry

Semiconductors

Trailing-12-Month Revenue

$713.5 million

Management

CEO Dr. Jason Rhode (since 2007)

CFO Thurman Case (since 2007)

Return on Equity (average, past 3 years)

39.6%

Cash/Debt

$148.2 million / $0

Competitors

Freescale Semiconductor

STMicroelectronics 

Texas Instruments

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 878 members who have rated Cirrus believe the stock will outperform the S&P 500 going forward.

Earlier this month, one of those Fools, whoodatstockhot, tapped the stock as a particularly attractive bargain opportunity:

Sometimes the market is completely irrational which presents buying opportunities. [Cirrus] integrated circuits for audio and energy markets are leading the industry, and demand continues to grow with mobile. Only because one of its customers happens to be the 2nd largest company in the world (and best in breed itself) [Cirrus] shares have been crushed. This short-term fad to sell Apple related stocks is coming to an end, and [Cirrus] on a valuation basis looks like an extremely good value. Expect some major upside for [Cirrus] in coming months.

If you want market-topping returns, you need to put together the best portfolio you can. Of course, despite its perfect five-star rating, Cirrus may not be your top choice.

We’ve found another growth play we are incredibly excited about — excited enough to dub it “The Only Stock You Need to Profit from the NEW Technology Revolution.” We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won’t be here forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Cirrus Is Poised to Bounce Back originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple and Cirrus Logic. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

UPCOMING DEADLINE: Levi & Korsinsky Notifies Investors with Losses on Their Investment in Cirrus Log

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By Business Wirevia The Motley Fool

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UPCOMING DEADLINE: Levi & Korsinsky Notifies Investors with Losses on Their Investment in Cirrus Logic, Inc. of Class Action Lawsuit and the Deadline of April 5, 2013 to Seek a Lead Plaintiff Position

NEW YORK–(BUSINESS WIRE)– Levi & Korsinsky announces that a class action lawsuit has commenced in the United States District Court for the Southern District of New York on behalf of investors who acquired Cirrus Logic, Inc. (“Cirrus” or “the Company”) (NAS: CRUS) stock between July 31, 2012 and October 31, 2012.

For more information, click here: http://zlk.9nl.com/cirrus-logic-crus/.

The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company’s financial performance and prospects. In particular, it is alleged that defendants knew but concealed the following during the Class Period: (a) that the Company’s dependence on Apple, Inc. for revenues was increasing rather than diminishing; (b) Cirrus’s sales growth was falling rather than increasing; (c) difficulties in Cirrus’s supply chain and at its vendors were increasing costs and diminishing the Company’s profit margins; (d) the launch of several models of Cirrus’s new LED lighting had been delayed; and (e) as a result of the aforementioned, defendants knew Cirrus’s increased fiscal 2013 guidance was not attainable.

On October 31, 2012, Cirrus issued significantly lower guidance than was expected for fiscal 2013. In response to the Company’s announcement, Cirrus stock fell from a close of $40.78 per share to $36.14 a share on November 1, 2012.

If you suffered a loss in Cirrus you have until April 5, 2013to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff. To obtain additional information, contact Joseph E. Levi, Esq. either via email at jlevi@zlk.com or by telephone at (877) 363-5972, or visit http://zlk.9nl.com/cirrus-logic-crus/.

Levi & Korsinsky is a national firm with offices in New York, New Jersey, and Washington D.C. The firm has extensive expertise in prosecuting securities litigation involving financial fraud, representing investors throughout the nation in securities and shareholder lawsuits. Attorney advertising. Prior results do not guarantee similar outcomes.

Levi & Korsinsky, LLP
Joseph Levi, Esq.
Tel: 212-363-7500
Toll Free: 877-363-5972
Fax: 866-367-6510
www.zlk.com

KEYWORDS:   United States  North America  New York

INDUSTRY KEYWORDS:

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Source: FULL ARTICLE at DailyFinance

Business, Finance, Occupation & Industry

DEADLINE ALERT: Rigrodsky & Long, P.A. Reminds Shareholders of Cirrus Logic, Inc. of Upcoming Deadli

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By Business Wirevia The Motley Fool

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DEADLINE ALERT: Rigrodsky & Long, P.A. Reminds Shareholders of Cirrus Logic, Inc. of Upcoming Deadline

WILMINGTON, Del.–(BUSINESS WIRE)– Rigrodsky & Long, P.A.:

  • Do you, or did you, own shares of Cirrus Logic, Inc. (NASDAQ GS: CRUS )?
  • Did you purchase your shares before July 31, 2012, or between July 31, 2012 and October 31, 2012?
  • Did you lose money in your investment in Cirrus Logic, Inc.?
  • Do you want to discuss your rights?

Rigrodsky & Long, P.A. reminds shareholders of Cirrus Logic, Inc. (NASDAQ GS: CRUS) (“Cirrus” or the “Company”) of an upcoming deadline involving a securities fraud class action lawsuit commenced against the Company.

A complaint was filed in the United States District Court for the Southern District of New York on behalf of all persons or entities that purchased the common stock of Cirrus between July 31, 2012 and October 31, 2012 (the “Class Period“), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”). If you wish to serve as lead plaintiff, you must move the Court no later than April 5, 2013.

If you purchased shares of Cirrus during the Class Period, or purchased shares prior to the Class Period and still hold Cirrus, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 825 East Gate Boulevard, Suite 300, Garden City, NY at (888) 969-4242, by e-mail to info@rigrodskylong.com, or at: http://www.rigrodskylong.com/investigations/cirrus-logic-inc-crus.

A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. …read more
Source: FULL ARTICLE at DailyFinance