Why Ixia Shares Jumped
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 IP testing company Ixia (NAS: XXIA) have jumped today by as much as 17% after the company reported earnings ahead of expectations.
So what: Revenue in the first quarter totaled $85.6 million, with earnings per share of $0.15. Both figures registered a beat to consensus estimates, which called for $83.5 million in sales and a profit of $0.14 per share.
Now what: CEO Victor Alston attributed the revenue beat primarily to strong sales in Japan, which has been a theme among other tech players recently reporting. The company also saw strong sales of its LTE solutions worldwide. On the heels of the report, Wunderlich Securities issued an upgrade to "buy" with a price target of $15, representing potential further upside from today's levels.
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At the time this article was published