QLogic Shares Popped Briefly: 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 networking equipment maker QLogic (NAS: QLGC) popped up 12% briefly this morning before giving back most of its gains and is now just 3% higher, after reporting earnings yesterday.

So what: QLogic scored $152.7 million in sales, which turned into a profit of $0.36 per share. Both results came in better than expected, with the market looking for $150.3 million in revenue and a $0.34 per share profit.

Now what: Revenue ticked down slightly compared to last year, while the bottom line shrank by 32%. CEO Simon Biddiscombe was still "very pleased" overall, particularly with QLogic's "host products" segment. The company has just entered into a definitive agreement to sell the assets associated with its Infiniband business, which will let it focus on its core businesses and growth opportunities within data centers.

Interested in more info on QLogic? Add it to your watchlist byclicking here.

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