Ixia Shares Popped: What You Need to Know
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Ixia (NAS: XXIA) rose 10% today after the company increased fourth-quarter guidance.
So what: The company increased fourth-quarter revenue guidance to $83 million to $84 million, topping estimates of $81.3 million from analysts. Non-GAAP earnings per share should be at the high end of its $0.14 to $0.17 guidance with analysts expecting $0.16 per share in earnings.
Now what: Management said demand was strong across the company, particularly in North America. Earnings won't be released until Feb. 2, but the early announcement has investors excited about the future. The future looks bright, especially if the U.S. recovery leads to stronger corporate spending in 2012.
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