nice reward - this was actually one of just a few long term holdings in my portfolio - bought after the stock sold off on great earnings and guidance a few weeks ago - stock hasn't moved much since then but obviously its payday finally.
sold all my shares in after hours as this one tends to react pretty ambivalent on even the greatest news and in most cases is giving back some if not all of its gains during the regular session
I would have liked a conference call on this huge guidance raise to listen to management's expectations for the remainder of the year. Is the company indeed expecting huge additional demand or is the Q2 performance just a pull forward of orders originally scheduled for Q3 delivery ? As long as investors don't know about the longer term picture the stock might not move as big as some might think now given the great guidance.
so enjoy the ride here but don't forget to lock in some profits - this is a great company but the investment community still has reservations about the longer term earnings sustainability given the fact that the company is still mostly a low end solutions provider.
I still would expect shorts to attack the stock tomorrow as usual on great earnings as it's quite easy to cast some doubt on the guidance as perhaps just an order pull forward and what will happen to the company when the low hanging fruits are harvested.
Personally I have no doubt that the company will do great going forward as they add multi-core solutions to their product offerings and closes some of the technology gap compared to its competitors.
Q2 earnings might come in at $0.75 to $0.80 and if the revenues continue to come in stronger than expected and given the guidance for INCREASING gross margins going forward full year earnings could come in above $3 per share which makes the stock a steal even at after hour prices.
I might buy back the stock if it indeed gets chopped down by shorts once again - I might also jump back in when the stock shows big strength and gets rid of the shortsellers