Thu, Apr. 16, 3:19 PM
- Today's notable tech gainers include Chinese online gaming/entertainment platform YY (YY +4.5%), Chinese search engine/portal owner Sohu (SOHU +5.4%), U.S. solar installer Vivint (VSLR +4.9%), U.S. solar installer Vivint (VSLR +4.9%), solar power optimizer/inverter maker SolarEdge (SEDG +5%), M2M hardware/software provider I.D. Systems (IDSY +8.9%), DSP core IP provider Ceva (CEVA +7.2%), cloud healthcare software provider Castlight (CSLT +6.1%), and NAND controller/4G transceiver vendor Silicon Motion (SIMO +4.8%). The Nasdaq is nearly flat.
- Notable decliners include local services marketplace Angie's List (ANGI -6.6%), IP licensing firm Acacia (ACTG -4.4%), and gaming system maker IGT (IGT -5.1%).
- Dougherty has launched coverage on I.D. Systems at Buy, and Canaccord has done the same for Ceva. Vivint is one of several solar firms to get an Outperform rating from Avondale Partners. Silicon Motion has surged to fresh 52-week highs, and is up 22% since last week's Q1 pre-announcement.
- Angie's List is giving back some of the big gains seen yesterday after announcing long-time CEO Bill Oesterle plans to retire, and slightly hiking its 2015 adjusted EBITDA guidance. IGT is returning a chunk of the gains seen last week following the closing of the Gtech merger.
- Previously covered: Etsy, AMD, Fairchild, SanDisk, 58.com, Audience, Travelzoo, Sequans, Carbonite, Identiv
Thu, Apr. 9, 1:18 PM
- Silicon Motion's (NASDAQ:SIMO) Wednesday Q1 revenue/gross margin pre-announcement suggests "a few pennies" of upside to B. Riley's $0.40 EPS estimate for the quarter, the firm writes in a bullish note today. Before the announcement, the consensus was at $0.42 (it's now at $0.44).
- B. Riley adds it's "particularly enthused" by SIMO's margin forecast, which suggests momentum for the company's high-margin embedded NAND/SSD controller business remains strong in 2015. NAND flash giant SanDisk issued a Q1/2015 warning on March 26; many think company-specific factors are playing a role.
- SIMO has rallied to new highs, and is now up 16% since the pre-announcement.
Wed, Apr. 8, 9:16 AM
- Silicon Motion (NASDAQ:SIMO) expects Q1 revenue to be roughly flat Q/Q, putting it at the high end of guidance for flat to -5% growth; consensus is for revenue to fall 3% Q/Q to $78.4M.
- Likewise, gross margin is expected to be in a 51%-52% range; guidance was at 50%-52%. GM was at 52.5% in Q4 and 48.6% in Q1 2014.
- Shares have risen to $29.00 premarket, just $1.50 below their 52-week high. Full Q1 results arrive on April 27.
Thu, Mar. 26, 3:19 PM
- Today's notable tech gainers include ultracapacitor maker Maxwell (MXWL +4.6%), SMB Web services firm Web.com (WWWW +3.7%), health site owner WebMD (WBMD +3.7%), and RF chipmaker Anadigics (ANAD +11.3%).
- Notable decliners include NAND flash controller/4G transceiver maker Silicon Motion (SIMO -4%), hybrid storage array vendor Nimble Storage (NMBL -3.8%), local ad services provider Dex Media (DXM -8.5%). The Nasdaq is down 0.2%.
- Maxwell's gains come a day after the company announced an ultracapacitor-based engine start module will be offered for two new Kenworth trucks. Silicon Motion has joined a slew of other chip stocks in selling off for the second day in a row. Nimble is trading near its January lows, while Dex has made fresh 52-week lows.
- Previously covered: Cybersecurity stocks, SolarEdge, Infinera, Accenture, SuperCom, Neustar, Textura, ASML, GoPro, SanDisk, Red Hat
Wed, Mar. 18, 3:05 PM
- Today's notable tech gainers include data protection software vendor Imperva (IMPV +3.5%), supercomputer maker SGI (SGI +5.3%), analog/mixed-signal chipmaker MagnaChip (MX +6.1%), enterprise cloud healthcare software vendor Castlight (CSLT +7.6%), program guide/content protection IP provider Rovi (ROVI +5.8%), cloud contact center software vendor Zendesk (ZEN +5%), and Web site owner Demand Media (DMD +4.6%). The Nasdaq is up 0.8% following Janet Yellen's market-pleasing remarks.
- Notable decliners include Chinese EV maker Kandi (KNDI -3.4%), RF backhaul hardware maker DragonWave (DRWI -7.6%), NAND flash controller/4G RF transceiver maker Silicon Motion (SIMO -3.2%), and online money transfer provider Xoom (XOOM -4.9%).
- Castlight is now up 13% from Friday's close. Rovi, rumored to be weighing strategic options, is two days removed from naming a new sales chief and announcing a licensing deal with Sharp. Kandi has now given back the big Monday gains it saw after posting Q4 results.
- Xoom's losses are likely tied to Facebook's launch of a money transfer service for Messenger users; Facebook isn't charging any fees for now.
- Previously covered: Adobe, Wix, Microsemi/Vitesse, Pandora, 500.com, chip equipment makers, Qihoo, MicroVision, Solar3D, Immersion, Netlist, Qunar, eBay, Avid
Tue, Mar. 10, 3:10 PM
- With the Nasdaq down 1.4%, a long list of tech names are posting major declines. Meanwhile, only a handful of tech companies are up more than 2%.
- Notable decliners include hard drive giant Seagate (STX -4.4%), VoIP service/app provider magicJack (CALL -5.6%), telecom equipment maker Comtech (CMTL -8.8%), flash controller IC vendor Silicon Motion (SIMO -5.2%), Wi-Fi hardware vendor Ruckus (RKUS -8.7%), online ad retargeting platform Criteo (CRTO -5.1%), haptic tech developer Immersion (IMMR -6.4%), supercomputer maker Cray (CRAY -4.6%), online coupon code provider RetailMeNot (SALE -5.5%), and solar plays JinkoSolar (JKS -5.6%), Daqo (DQ -9.8%), and Enphase (ENPH -8.9%).
- Immersion has more than given back the Monday gains it saw after Apple, which relies on a proprietary haptic solution that some think infringes on Immersion's IP, unveiled a 12" retina MacBook with a pressure-sensitive trackpad. Solar stocks are reversing course after rallying in recent weeks with the help of good earnings news and YieldCo hopes.
- Previously covered: Cybersecurity stocks, Canadian Solar/ReneSola, Qihoo, Electronic Arts
- Notable gainers: Nvidia, MicroVision, Energous, Weibo
Mon, Mar. 2, 1:41 PM
- The Philadelphia Semi Index (SOXX +2.4%) has rallied to new highs after NXP announced it's buying microcontroller, network processor, and RF amplifier supplier Freescale for $16.7B after factoring net cash/debt, the biggest deal yet in the chip industry's ongoing consolidation wave. The Nasdaq is up 0.5%.
- Microcontroller makers are among today's big gainers - NXP/Freescale assert they'll be the world's biggest supplier of general-purpose microcontrollers. Standouts include Atmel (ATML +6%) and STMicroelectronics (STM +3.4%), as well as Cypress (CY +3.1%) and merger partner Spansion (CODE +3.2%).
- Other notable gainers include InvenSense (INVN +3.4%), Ambarella (AMBA +6.3%), Audience (ADNC +5.5%), Cirrus Logic (CRUS +3.7%), Cavium (CAVM +4.2%), ON Semi (ONNN +3.5%), Silicon Motion (SIMO +3.5%), InPhi (IPHI +3.8%), and TowerJazz (TSEM +5.5%).
- With the Mobile World Congress as a backdrop, InvenSense has unveiled a 6-axis SoC that pairs a gyroscope and acceleromoter with a motion processor and related software/algorithms; the company claims 25%-50% better power consumption than rival solutions. It has also launched a software library meant to "provide sensor-assisted positioning in places where GNSS alone cannot provide desired accuracy."
- Cavium has announced its OCTEON Fusion-M processor line for mobile base stations. The chips support up to 16 custom CPU cores running at 2GHz., and are declared by Cavium to enable "Smart Radio Heads" that can adapt to network conditions. They begin sampling in Q3.
- Chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG
- Previously: Chip product launches: ARMH, EZCH, BRCM, NXPI, XLNX, IDTI
Fri, Feb. 27, 2:59 PM
- Today's notable tech gainers include IP licensing firm VirnetX (VHC +8.1%), ultracapacitor maker Maxwell (MXWL +4.7%), local services marketplace Angie's List (ANGI +5.9%), voice processor developer Audience (ADNC +5.4%), Ethernet/Wi-Fi hardware maker Extreme Networks (EXTR +3.5%), Chinese polysilicon vendor Daqo (DQ +8.3%), Chinese mobile game published Sky-mobi (MOBI +9.8%), professional video hardware/software maker Avid (AVID +5.2%), and optical component vendors NeoPhotonics (NPTN +11%) and Oclaro (OCLR +5.2%).
- Notable decliners include cloud HR/financials software leader Workday (WDAY -3.5%), cloud IT service desk software leader ServiceNow (NOW -3.7%), industrial laser maker IPG Photonics (IPGP -3.1%), FPGA/mobile sensor hub maker QuickLogic (QUIK -4.5%), and NAND controller/4G transceiver vendor Silicon Motion (SIMO -4%). The Nasdaq is down 0.5%.
- Initially up post-earnings, Workday is now down 9% since beating FQ4 revenue estimates and offering in-line FY16 revenue guidance on Wednesday afternoon. Heavily-shorted VirnetX is up 33% since announcing on Feb. 18 the USPTO had denied five Apple patent review petitions. Maxwell (also heavily shorted) is up 17% since an insider buy was disclosed a week ago. Sky-mobi is up 20% since Rosenblatt Securities provided bullish coverage yesterday.
- Previously covered: Chinese Web/mobile stocks, SanDisk, Autobytel, DigitalGlobe, GoPro, Immersion, MoSys, Resonant, Infoblox, Aruba, UniPixel, Autodesk, Universal Display, TubeMogul, Nimble Storage
Mon, Jan. 26, 6:59 PM
- Silicon Motion (NASDAQ:SIMO) expects Q1 revenue to be flat to down 5% Q/Q. That implies a range of $76.5M-$80.5M, mostly above a $76.9M consensus.
- For the whole of 2015, SIMO expects revenue to grow 15%-25%; consensus is for 21.1% growth.
- Q4 gross margin was 52.5%, down from 52.9% in Q3 but up from 48.8% a year ago. GM is expected to fall to 50%-52% in Q1, and be in a 49.5%-51.5% range for the whole of 2015 (down from 2014's 51.8%).
- Embedded storage IC sales rose 70% Y/Y in Q4, driven by eMMC and client SSD controller demand. eMMC now makes up 40% of total revenue. Micron is an SSD controller client, and three tier-1 PC OEMs are using SSDs featuring SIMO's controllers.
- Operating expenses rose 58% Y/Y to $21.4M. SIMO had $195.2M in cash/investments at quarter's end, and no debt.
- Shares are at $25.60 in AH trading.
- Q4 results, PR
Mon, Jan. 12, 12:55 PM
- NAND flash giant SanDisk cut its Q4 revenue and gross margin guidance this morning. NAND controller IC vendor Silicon Motion (NASDAQ:SIMO) is slumping in response.
- SanDisk's woes might have more to do with NAND pricing than demand; Micron mentioned last week it saw NAND prices/margins come under pressure after a rival (appears to be Samsung) boosted its supply to third parties.
- SIMO is only four days removed from narrowing its Q4 revenue guidance, and hiking its gross margin guidance.
Tue, Jan. 6, 1:36 PM
- Up 30% in 2014, the Philadelphia Semi Index (SOXX -2.2%) has fallen over 4% thus far in 2015. Today's decline comes as the Nasdaq drops 1.6%.
- Many names are posting 3%+ losses. SWKS -4.2%. QRVO -5.8%. AMAT -3.4%. KLAC -3.1%. SYNA -5.4%. IPHI -9%. ARMH -5.4%. SIMO -4.5%. MCRL -3.9%. AMCC -3.9%. CODE -5.1%. CY -4.6%. QUIK -7.9%.
- This morning, Gartner estimated global chip sales rose 7.9% in 2014 to $339.8B, a little less than the 9.4% recently estimated by IHS. Sell-side firms have forecast industry growth will fall to the ~5% range in 2015.
- Gartner thinks memory sales rose 16.9%, fueled by a 31.7% increase in DRAM sales. All other chip markets rose by 5.4%, a marked improvement from 2013's 0.8%. Intel (15% share) and Samsung (10.4%) claimed over a quarter of industry sales between them. Qualcomm (5.6%), Micron (4.9%), and SK Hynix (4.7%) rounded out the top-5.
- Chip ETFs: SMH, XSD, PSI, SOXL, USD, SOXS, SSG
Fri, Jan. 2, 3:33 PM
- NAND flash controller/4G transceiver vendor Silicon Motion (NASDAQ:SIMO) is set to deliver its highest close since early October. Volume of 437K is close to a 3-month average of 454K.
- SIMO, which has been benefiting from both smartphone and SSD market growth, currently goes for 12x 2015E EPS. The 2015 revenue growth consensus is at 21.3%.
Oct. 29, 2014, 7:04 PM
- Silicon Motion (NASDAQ:SIMO) expects revenue in seasonally weaker Q4 to be down 5%-10% Q/Q. That implies a range of $77.8M-$82.2M, mostly above a $77.9M consensus. Expectations had risen following SIMO's Oct. 7 guidance hike.
- Gross margin rose to 52.9% in Q3 from 52.2% in Q2 and 48.8% a year ago. GM is expected to fall to the 50%-52% range in Q4.
- GAAP opex rose 63% Y/Y to $26.7M; R&D spend accounted for $17.7M of the total.
- The chipmaker says it's "well positioned for 2015 based on our growing pipeline of design wins" in the eMMC (NAND flash) and SSD controller markets.
- Q3 results, PR
Oct. 10, 2014, 1:42 PM
- Following Microchip's warning and related prediction of a chip industry correction, Goldman's James Covello thinks there's 15%-20% downside in industry names.
- Covello, who lowered his industry view to Cautious in August: "The last time Microchip negatively preannounced was October 15, 2012 (3% sales miss). Between October 1 and December 31, Street 2013 sales estimates for the Semi group were revised down 6% on average."
- He adds several datapoints suggest the industry has been overheating. Among them: Semi revenue growth has outpaced end-market growth, and supply chain inventory dollars rose 3% more than their 3-year average in Q2.
- "Nobody will be spared," predicts Hedgeye's Craig Berger. Benchmark's Gary Mobley observes 5 of the 6 chip stocks to have made Q3 pre-announcements have thus done so to the downside.
- Worth noting: Mobile chipmaker Silicon Motion (SIMO -8.9%) is the one chipmaker to have positively pre-announced. It might not be a coincidence that Microchip has relatively low mobile exposure.
- Observing U.S. macro data remains positive even as China and Europe soften, Longbow's JoAnne Feeney remains bullish long-term on select names. However, she has cut her short-term rating on Linear (LLTC -3.8%) to Sell, and removed IDT (IDTI -7.1%) from her trading long list.
- In addition to the names previously mentioned, the following chip stocks are seeing steep losses: AMD -5.1%. FCS -13.6%. NXPI -11.2%. CODE -11%. LSCC -9.6%. SIMG -8.1%. IPHI -7.7%. ISIL -9.5%. CY -6.9%. RMBS -7.1%. QUIK -5.7%. SQNS -5.1%. IMOS -6.5%.
- Foundries and contract manufacturers are also selling off: TSM -3.9%. UMC -2%. SMI -2.4%. SANM -11.7%. FLEX -6.8%. JBL -4%.
- Chip ETFs: SOXX, SMH, XSD, PSI, SOXL, USD, SOXS, SSG
Oct. 7, 2014, 9:12 AM
- Silicon Motion (NASDAQ:SIMO) now expects Q3 revenue to be up 23%-25% Q/Q, above prior guidance for 15%-20% growth.
- Gross margin is expected to be in a 52%-53% range, above prior guidance of 50%-52%. Q2 GM was 52.2%.
- Full Q3 results arrive on Oct. 29. SIMO has been seeing strong demand for its eMMC NAND flash controllers from Android OEMs, an has also been growing sales of SSD controllers and 4G RF transceivers.
Jul. 28, 2014, 6:37 PM
- Silicon Motion (NASDAQ:SIMO) expects Q3 revenue to be up 15%-20% Q/Q. That's well above a consensus for revenue to grow 3% Q/Q to $71.7M. The chipmaker also now expects 22%-27% full-year revenue growth, above a 16.7% consensus.
- Q2 revenue was in-line with SIMO's revised guidance. SSD/embedded revenue grew over 55% Q/Q, and made up "well over 50%" of total revenue. Within the segment, eMMC controller revenue grew 65%. SIMO asserts its eMMC controllers are now used by all top-10 smartphone OEMs not named Apple.
- The company has also begun shipping its LTE-Advanced RF transceiver to its Korean phone partner (Samsung?), and says it has scored two more LTE-Advanced design wins with the partner.
- SSD controller revenue grew rapidly, and a new SSD platform win was scored with a PC OEM that will go into production in 1H15. The company also expects multiple program wins with SSD vendors to ramp in 1H15.
- Q2 gross margin was 52.2%, up from 48.6% in Q1 and 48.4% a year ago. GM is expected be in a 50%-52% range in Q3, and a 49.5%-51.5% range for the whole of 2014.
- Q2 results, PR
SIMO vs. ETF Alternatives
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