Atmel Corp., Abode Systems, ConAgra Foods, Ralcorp and Bank of America highlighted as Zacks Bull and Bear of the Day

    Atmel Corp., Abode Systems, ConAgra Foods, Ralcorp and Bank of America
                highlighted as Zacks Bull and Bear of the Day

PR Newswire

CHICAGO, Jan. 16, 2013

CHICAGO, Jan. 16, 2013 /PRNewswire/ --Zacks Equity Research highlights Atmel
Corp. (NYSE:ATML) as the Bull of the Day and Adobe System (NYSE: ADBE) as the
Bear of the Day. In addition, Zacks Equity Research provides analysis
ontheConAgra Foods Inc. (CAG), Ralcorp Holdings Inc. (RAH) and Bank of
America Corp. (BAC).

(Logo: http://photos.prnewswire.com/prnh/20101027/ZIRLOGO)

Here is a synopsis of all five stocks:

Bull of the Day:

Atmel Corp. (ATML) reported strong third quarter results with healthy earnings
that exceeded the Zacks Consensus Estimate. The company is investing more in
its core microcontroller business to augment its margins and overall growth
going forward. Fast-growing touchsensing technology is one of the major growth
drivers for Atmel's microcontroller business.

The company's strong relationships with Nokia, Motorola, HTC and Samsung are
also expected to bolster its business in the future. We are changing our
long-term recommendation on the stock from Neutral to Outperform based on the
long-term growth perspective.

The stock is currently trading at a P/E multiple of 27.2x, identical with the
industry average and the S&P 500 multiple of 15.0x. Our target price of $8.50
reflecting a P/E of 35.4x factors aligns with our Outperform recommendation.

Bear of the Day:

Adobe Systems' (ADBE) fourth quarter earnings exceeded the Zacks Consensus
Estimate on higher revenue. However, the subscription service will hurt
Adobe's revenue growth in the short term as it brings in revenues on a monthly
basis instead of an upfront payment.

Hence, we are downgrading our recommendation on Adobe shares from Neutral to
Underperform. Adobe lowered its fiscal 2013 guidance from $4.4 billion to $4.1
billion, considering the faster uptake the of Creative Cloud subscription
model.

Also, lower end-market demand will impact earnings in the near term. We
believe that this is the result of weak global economic conditions, the
unwillingness of the user to spend on the modified Acrobat software, among
other things.

Additional content:

ConAgra Goes Ahead with Ralcorp Plans

ConAgra Foods Inc. (CAG) made an announcement today acknowledging the receipt
of the "no-action letter" from the Canadian Competition Bureau. The letter
indicates that the Commissioner of Competition does not intend to stand in the
way of ConAgra's acquisition of Ralcorp Holdings Inc. (RAH), announced in late
November last year. This declaration frees the company from one of the
criteria for the completion of the acquisition.

In another press release, the company reported the outcome of its cash tender
offer for certain Ralcorp Notes, announced in early January 2013. As on the
early tender date, January 14, 2013, the Ralcorp Note holders tendered a total
of 93.9% or $281.7 million and 96.2% or $433.0 million of 4.950% Notes due
August 15, 2020 and 6.625% Notes due August 15, 2039, respectively.

The holders who have tendered their Notes on the above date are eligible for
an early tender premium on the amount of Notes. However, the holders who
tender their Notes after the Early Tender period but before the Settlement
date of January 29, 2013, will be eligible to receive the Exchange
Consideration only.

BofA Merrill Lynch, a wing of Bank of America Corp. (BAC), is the exclusive
dealer manager and solicitation agent for the Tender Offers and Consent
Solicitations.

The above settlement is done in connection with ConAgra's proposed acquisition
of Ralcorp, which we believe will lead the company to better profitability due
to cost synergies. Since the acquisition announcement date of Ralcorp, ConAgra
has experienced a 10% hike in its stock price. 

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About the Bull and Bear of the Day

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