Citrix (CTXS +2.5%) has been upgraded to Overweight by JPMorgan, and to Buy by Nomura. The votes of confidence come a day after shares tumbled in response to the company's soft guidance and disclosure that CEO Mark B. Templeton will be retiring within a year. Several firms had downgraded Citrix in response to the news.
Tibco (TIBX -1.6%) has been cut to Underweight by Barclays.
Vimpelcom (VIP +0.5%) has been upgraded to Buy by Citi. HSBC cut the Russian mobile carrier to Neutral two days ago.
International Rectifier (IRF +2.3%) has been upgraded to Buy by Citi. Shares sold off yesterday following the chipmaker's FQ2 beat.
Autobytel (ABTL -5%) has been cut to Hold by Ascendiant Capital.
Market-pleasing Q3 reports and better-than-feared guidance from Atmel (ATML +10.6%), Intersil (ISIL +4.2%), International Rectifier (IRF +11.4%), Microchip (MCHP +7.5%), Cavium (CAVM +8.9%), and Skyworks (previous) helped chip stocks trader higher (SOXX +0.6%) on a down day for tech
The gains followed a difficult month that saw many chipmakers (including a number with strong mobile exposure) provide disappointing Q4 guidance. While the guidance provided by the aforementioned companies wasn't stellar, it was better than feared in light of recent forecasts.
Atmel guided on its CC (transcript) for Q4 revenue of $350M-$364M, below a $364.9M consensus.
Intersil expects Q4 revenue of $142M-$148M and EPS of $0.16-$0.18 vs. a consensus of $149.1M and $0.17.
Microchip, viewed by some as an industry bellwether, was able to deliver in-line guidance: the company expects FQ3 revenue of $463.1M-$492.7M and EPS of $0.57-$0.63 vs. a consensus of $476.9M and $0.59.
International Rectifier expects FQ2 revenue of $260M-$270M vs. a $265M.1M consensus.
Cavium guided on its CC (transcript) for 1%-4% Q/Q revenue growth and EPS of $0.29-$0.31; the consensus is for 5% growth and EPS of $0.30.
AMD (AMD -12.7%) has been cut to Neutral by BofA/Merrill after beating Q3 estimates and providing above-consensus Q4 revenue guidance, but also reporting a 15% Y/Y drop in CPU division sales due to PC weakness.
International Rectifier (IRF) FQ4 beats consensus across the board on a 23% jump in total revenue.
All business segments posted strong sequential growth.
Gross margin continues to improve - coming in at 30% compared to 24.3% in the prior quarter and 25.9% in the prior year quarter - hitting the high end of guidance as a result of improving business demand, utilization and product mix.
For Q1, the company is targeting revenue of around $260M - $268M, towards the high end of the Street view of $260M.
A roundup of tech analyst ratings changes: 1) Sprint (S +0.6%) has received an upgrade to Outperform from Cowen in response to the SoftBank deal. 2) H-P (HPQ +0.9%) has been upgraded to Buy by Brean. 3) Nokia (NOK +2.9%) has been downgraded to Neutra by Swedbank. 4) Western Digital (WDC +0.8%) has been started at Outperform, and Seagate (STX +0.5%) at Neutral, by Piper. 5) Crown Castle (CCI +0.4%) has been downgraded to Equal Weight by Evercore. 6) International Rectifier (IRF +3.4%) has been upgraded to Strong Buy by Raymond James. 7) Freescale (FSL +5%) has been upgraded to Overweight by Piper. 8) Synchronoss (SNCR -7.4%) has been downgraded to Sell by Goldman. 9) SolarCity (SCTY -2%) has been started at Hold by Maxim. 10) Ixia (XXIA -22.7%) has been downgraded to Hold by Stifel in response to its Q2 warning.
International Rectifier (IRF -4.3%) is off after receiving a downgrade to Sell from Goldman's James Schneider, who expects shares to underperform during the first stages of a chip industry recovery. Pricing and margin pressure for discrete analog chips, high inventories, and sub-par execution are all cited. Meanwhile, fellow analog names Linear Tech (LLTC -2.9%) and Analog Devices (ADI -1.5%) are slightly underperforming after respectively catching downgrades to Sell and Neutral from Citi.