AMD....and ARM...and TSMC processors must be gaining share on Intel's chips to data centers.
Intel is overly focused on trying to make chips for tablets, too bloated and slow.
Up 1.14% today on rising global economy and stronger than expected NY Empire State report. All market indices up including DOW up 125 and SP500 up 0.62%.
After being a laggard for years, Telecom is still 25% below 2008 level, is beginning to rise.
The Silicon Cycle recovery is beginning to be boosted by the PC recovery...
PC industry names outperformed amid a broader tech rally, aided by a JPMorgan Intel (INTC +4%) note that argued PC demand is stabilizing, and tablet cannibalization diminishing. A number of chip stocks also rallied strongly (SOXX +2.1%).
CNBC News article this noon:
Micron Technology moved higher as Argus begins coverage with a buy rating with a price target of $31 a share.
SP500 and DJ20 Transports are green, DOW heading green only -5 and rising. Some early year gyration. Due for bounce as very rarely has the first six days January not been up during a recovering global economy.
The market is digesting last year's gains.
Economic reports point to:
* higher global growth of manufacturing and demand
* US price deflation (due to more domestic energy production, less import, more export)
* US fiscal stimulus (from less drag)
* Technology Cap Ex beginning of upturn (long awaited) based on reports of broader strengthening demand pricing and/or leadtimes by HPQ MSFT AMD Digi-Times MU.
MU Micron reports "broad tech equipment demand rising" based on Customer Orders for memory chips as described in their analyst meeting report last night. DRAM and Flash chip prices continue rising on spot and contract price due to rising end equipment demand (and capacity shortage exacerbated by a competitor's fab fire.)
This is verification of what was reported the past month by Hewlett Packard HPQ and Microsoft MSFT who reported firming demand for large computer equipment, PCs, printers by data centers and corporate enterprise customers. IT capital spending capex upcycle (after years being supressed) has begun to rise.
That "clowngrade" was so wrong by that bear he should lose his paycheck or job. Unless RBC was buying long while he was trying to trash talk the company based on his negative fluff.
Congratulations MU management and employees. I have invested in your business upcycles since early 1990s.... You anticipate and ride the DRAM and Flash Silicon Cycles better than anyone.....Rock on and do your thing!
4:08 pm Micron beats by $0.26, beats on revs (MU) : Reports Q1 (Nov) earnings of $0.77 per share, $0.26 better than the Capital IQ Consensus Estimate of $0.51; revenues rose 120.4% year/year to $4.04 bln vs the $3.71 bln consensus.
•Revenues from sales of DRAM products were 69 percent higher q/q due primarily to an increase in sales volume resulting from the acquisition of Elpida.
•Revenues from sales of NAND Flash products were 8 percent higher q/q primarily due to an 11 percent increase in sales volume offset by a slight decrease in average selling prices.
•The company's consolidated gross margin improved to 32 percent in the first quarter of fiscal 2014 compared to 25 percent in the fourth quarter of fiscal 2013 primarily due to an increase in volume of products resulting from the acquisition of Elpida and to product mix.
•Cash flows from operations for the first quarter of fiscal 2014 were $1.51 billion, while investments in capital expenditures were $669 million. The company ended the first fiscal quarter with cash and marketable investments of $4.41 billion.