Why Ixia Shares Popped

Before you go, we thought you'd like these...
Before you go close icon

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 have popped today by as much as 10% after the company raised its fourth-quarter guidance.

So what: The company had previously expected revenue to be in the range of $118 million to $122 million but now expects a top line of $123.5 million to $124.5 million in the fourth quarter. The boost is partially attributed to the recent acquisitions of Anue Systems and BreakingPoint Systems, which combined are expected to generate more revenue than previously anticipated.


Now what: Anue and BreakingPoint were previously expected to generate sales of $26 million to $28 million, a range that's now up to $30 million to $31 million. In addition, both GAAP and non-GAAP earnings per share are expected to be at or above the high end of guidance, following the top-line beat. CEO Vic Alston said the integration of both Anue and BreakingPoint is proceeding well and expanding the company's enterprise presence.

Interested in more info on Ixia? Add it to your watchlist by clicking here.


 

The article Why Ixia Shares Popped originally appeared on Fool.com.

Fool contributor Evan Niu, CFA, and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners