|From Briefing.com: 4:35PM TranSwitch misses by $0.08, misses on revs; announces offering of 1,315,006 shares of the Common Stock (TXCC) 2.05 -0.02 : Reports Q1 (Mar) loss of $0.18 per share, $0.08 worse than the Capital IQ Consensus Estimate of ($0.10); revenues fell 54.9% year/year to $3.7 mln vs the $5.67 mln consensus. "While the results of the first quarter were disappointing, we continue to make progress toward the launch of our new video connectivity business... We are steadily expanding the list of potential customers for HDplay products and are anticipating production start in the third quarter. Equally important, we have introduced our first mobile product, HDmobile, with a compelling set of features for the fast growing market of smart phones and tablets." The Company also announced that it entered into a Securities Purchase Agreement dated May 8, 2012 with certain purchasers to sell 1,315,006 shares of the Common Stock for gross proceeds of $2,445,911. Each share of Common Stock was sold for a purchase price of $1.86. |
4:10PM STEC misses by $0.02, reports revs in-line; guides Q2 EPS below consensus, revs below consensus (STEC) 7.70 -0.34 : Reports Q1 (Mar) loss of $0.17 per share, $0.02 worse than the Capital IQ Consensus Estimate of ($0.15); revenues fell 46.9% year/year to $50.4 mln vs the $49.97 mln consensus. Co issues downside guidance for Q2, sees EPS of ($0.28) - ($0.26) vs. ($0.13) Capital IQ Consensus Estimate; sees Q2 revs of $40-42 mln vs. $52.01 mln Capital IQ Consensus Estimate. CO says "We remain encouraged by the increase in overall market activity for enterprise SSDs and are making significant strides with the fourth-generation of our ZeusIOPS? SSD, and our MACH16 SSD, PCIe SSD, and EnhanceIO caching software. In the face of a growing and competitive market, we are confident in these solutions and in our abilities to innovate to meet our customers' needs. Although we have experienced longer-than-expected qualification cycles due to the complexity and customization of our products, we anticipate a few customers will qualify some of our products in this quarter, with several others expected to be completed in the third quarter of 2012. However, until qualifications are completed, we cannot accurately project the sales of these products. That said, we believe that the revenue level in the second quarter of 2012 represents a trough period for us. We also believe that our technologies and the products that are built on those technologies will drive future revenue growth."
4:07PM Diodes reports EPS in-line, revs in-line; guides Q2 revs above consensus (DIOD) 21.34 +0.31 : Reports Q1 (Mar) earnings of $0.09 per share, in-line with the Capital IQ Consensus Estimate consensus of $0.09; revenues fell 10.5% year/year to $144.7 mln vs the $143.94 mln consensus. Co issues upside guidance for Q2, sees Q2 revs of $155-164 mln vs. $155.53 mln Capital IQ Consensus Estimate. Firm also says expect gross margin to be 26 percent, plus or minus 2 percent. Operating expenses, without consideration of any gain on sale of assets, are expected to be down slightly from first quarter on a percent of revenue basis. Firm expects income tax rate to range between 7 and 13 percent, and shares used to calculate GAAP EPS for the second quarter are anticipated to be approximately 47.2 million.
4:30 pm : A wave of widespread weakness sank the stock market more than 1% to its lowest level in two months, but a steady climb in afternoon trade helped stocks slash losses.
Amid a lack of meaningful earnings announcements and a complete absence of domestic data, most market participants opted to sell stocks at the open due to lingering concerns about the implications of recent political elections in Europe -- Europe's major bourses settled their latest session with steep losses, dropping the EuroStoxx by 1.5%.
Domestic averages attempted to stabilize after enduring an opening leg down, but selling regained traction to take the S&P 500 below the 1350 line for the first time snce early March. A failed rebound attempt left stocks to drift lower again, but their ability to stay off of session lows suggested was enough support to prevent further losses. From there stocks began a steady ascent that saw the Dow recover more than 100 points.
Energy stocks staged one of the more impressive swings. The sector was down more than 2% at its session low, but settled the day down only 0.4%. Meanwhile, crude oil recovered from a session low of $95.57 per barrel to settle pit trade at $97.13 per barrel for a 0.8% loss. Despite the upturn, the closing price stands as the lowest closing level for the June contract this year. Natural gas prices also recoverd from negative territory to close pit trade at $2.39 per MMBtu for a 2.6% gain.
Defensive in nature, Utilities and Health Care scored gains of 0.2%, but neither was down dramatically at any point during the day. Telecom suffered a 0.2% loss after it had spent most of the session outperforming the other major sectors.
The turn in tone took the Volatility Index from above 20, which hasn't been eclipsed for almost a month, back to about 19 by the closing bell. The resulting increase for the VIX was less than 1%, although it had been up nearly 10% earlier in the day.
Volatility seemed to excite some traders. Share volume on the NYSE didn't break the 1 billion mark, but it did hit 900 million, which is above averages for the past few months.
The dollar advanced another 0.3% against a basket of major foreign currencies today. That puts it comfortably above its 50-day moving average, which was first crossed late last week, at a new three-week high.
Treasuries also attracted a solid bid, or at least enough to send the yield on the 10-year Note even closer to 1.80% for a new a three-month low before it eased off that mark. Results from an auction of 3-year Notes today resulted in a bid-to-cover ratio of 3.65, dollar demand of $116.8 billion, and an indirect bidder participation rate of 35.7%. For comparison, the prior auction drew a bid-to-cover of 3.36, dollar demand of $107.5 billion, and an indirect bidder rate of 39.9%, while an average of the last six auctions results in a bid-to-cover of 3.48, dollar demand of $111.3 billion, and an indirect bidder rate of 36.4%.
Advancing Sectors: Health Care +0.2%, Utilities +0.2%
Declining Sectors: Consumer Staples -0.1%, Telecom -0.2%, Industrials -0.3%, Energy -0.4%, Materials -0.5%, Tech -0.5%, Financials -0.7%, Consumer Discretionary -1.3%DJ30 -76.44 NASDAQ -11.49 NQ100 -0.4% R2K -0.1% SP400 -0.2% SP500 -5.86 NASDAQ Adv/Vol/Dec 1205/2.17 bln/1313 NYSE Adv/Vol/Dec 1188/900 mln/1800
Acme Packet (APKT) announced that WIND Mobile selected the Acme Packet Net-Net Session Director session border controllers to securely connect WIND's voice over internet protocol core network with other service providers
8:48AM Research In Motion appoints Kristian Tear as Chief Operating Officer and Frank Boulben as Chief Marketing Officer (RIMM) 11.82 : Mr. Tear joins RIM from Sony Mobile Communications, where he served as Executive Vice President. At RIM, Mr. Tear will serve as Chief Operating Officer overseeing all operational functions for handhelds and services, including research and development, products, global sales, manufacturing and supply chain. Mr. Boulben is the former Executive Vice President of Strategy, Marketing and Sales for LightSquared. Mr. Boulben will oversee global marketing efforts at RIM.
8:05AM Vishay Precision misses by $0.01, misses on revs; guides Q2 revs in-line (VPG) 13.82 : Reports Q1 (Mar) earnings of $0.12 per share, $0.01 worse than the Capital IQ Consensus Estimate of $0.13; revenues fell 6.2% year/year to $55.8 mln vs the $56.47 mln consensus. Co issues in-line guidance for Q2, sees Q2 revs of $54-59 mln vs. $58.82 mln Capital IQ Consensus Estimate. Commenting on the Q, co states: "Orders in Europe and the Americas improved in the first quarter of 2012 compared to the fourth quarter of 2011, mainly in the FTP segment and the Force Sensors segment. We experienced a decrease in orders for the Asian markets in the FTP segment...We are seeing some stability in our end markets for the first quarter of 2012."
7:38AM Monolithic Power wins more than $9.4 mln in attorneys' fees and costs against O2 Micro (OIIM) (MPWR) 20.71 : Co announced that the United States District Court for the Northern District of California had issued an order finding O2 Micro International (OIIM) liable for ~ $9.1 million in attorneys' fees and non-taxable costs, plus interest, in connection with the patent litigation that MPS won in 2010. This award is in addition to the ~ $340,000 in taxable costs that the Court had earlier ordered O2 Micro to pay to MPS in connection with the same lawsuit. MPS anticipates that O2 Micro will appeal the Court's orders and the final judgment.
Qualcomm (QCOM) and Clearwire (CLWR) announced that Qualcomm will add support for Clearwire's upcoming LTE TDD network to its line of multi-mode LTE chipsets with the inclusion of support for 3GPP's Band 41 radio frequency.
ON Semiconductor (ONNN) introduced a new series of Field Stop Insulated Gate Bipolar Transistors targeted at industrial motor control and consumer products
Lattice Semiconductor (LSCC) announced that eight devices of its iCE40 "Los Angeles" mobileFPGA family have been fully qualified and released into volume production.
Rackspace (RAX $49.95 -7.84) reported earnings of $0.17 per share, $0.01 worse than the consensus of $0.18, while revenues rose 30.9% year/year to $301 million versus the $300.04 million consensus. The adjusted EBITDA margin for the quarter was 33.4% compared to 36.1% in the previous quarter and 33.0% for the first quarter of 2011. Total server count increased to 82,438 up from 79,805 servers at the end of the previous quarter, and total customers increased to 180,866, up from 172,510 at the end of the previous quarter.
Electronic Arts (EA $14.21 -0.92) reported fourth quarter earnings of $0.17 per share, $0.01 better than the consensus of $0.16, while revenues fell 1.8% year/year to $977 million versus the $959.19 million consensus. The company issued downside guidance for the first quarter with EPS of -$0.45-0.40 vs. ($0.33) Capital IQ Consensus Estimate, with revenues of $500 million versus the $581.85 million consensus,. The company issued mixed guidance for fiscal year 2013 with EPS of $1.05-1.20, excluding non-recurring items, versus the $1.13 consensus and revenues of $4.30 billion versus the $4.52 billion consensus.
NetQin Mobile (NQ $10.96 -1.09) reported first quarter earnings of $6.387 mln may not be comparable to $6.18 million consensus, while revenues rose 110.5% year/year to $16 million versus the $14.73 million consensus. The company issued upside guidance for the second quarter with revenues of $17.5-17.8 versus the $16.59 million consensus. THe company issued upside guidance for fiscal year 2012 with revenues of $73-75 million up from $70-72 million versus the $71.90 million consensus.
09:53 am Electronic shares trading lower by 4% following downside guidance
Electronic Arts (EA $14.40 -0.72) reported fourth quarter earnings of $0.17 per share, $0.01 better than the consensus of $0.16, while revenues fell 1.8% year/year to $977 million versus the $959.19 million consensus. The company issued downside guidance for the first quarter with EPS of -$0.45-0.40 vs. ($0.33) Capital IQ Consensus Estimate, with revenues of $500 million versus the $581.85 million consensus,.
The company issued mixed guidance for fiscal year 2013 with EPS of $1.05-1.20, excluding non-recurring items, versus the $1.13 consensus and revenues of $4.30 billion versus the $4.52 billion consensus.
09:50 am Raclspace trading sharply lower by 13% following miss on earnings per share
Rackspace (RAX $49.83 -8.02) reported earnings of $0.17 per share, $0.01 worse than the Capital IQ consensus of $0.18, while revenues rose 30.9% year/year to $301 million versus the $300.04 million consensus.
The adjusted EBITDA margin for the quarter was 33.4% compared to 36.1% in the previous quarter and 33.0% for the first quarter of 2011. Total server count increased to 82,438 up from 79,805 servers at the end of the previous quarter, and total customers increased to 180,866, up from 172,510 at the end of the previous quarter.