This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Why Freescale Semiconductor (FSL) Is Jumping Today

NEW YORK (TheStreet) -- Freescale Semiconductor (FSL) gained 17.8% to $18.02 Wednesday following a positive earnings report and an upgrade from Needham.

In its fourth quarter earnings report, the chipmaker reported earnings of 19 cents a share. Analysts surveyed by Thomson Reuters expected earnings of 18 cents a share. Revenue for the quarter came in at $1.08 billion, beating the consensus estimate of $1.05 billion for the quarter.

Freescale Semiconductor expects revenue of $1.07 billion to $1.11 billion for the first quarter of 2014. Analysts predict revenue of $1.03 billion in the quarter.

On the heels of the earnings report Needham upgraded the chipmaker to "strong buy" from "buy," with a price target of $25, up from $20. Analyst Rajvindra S. Gill cited revenue growth, margin expansion, and deleveraging in his note explaining the upgrade.

"FSL printed a solid beat and raise qrt, with 1Q14 sales guidance handily beating expectations," the analyst wrote. "FSL continues to see strength across its entire product portfolio, with particular growth coming from infrastructure spending in China, 32-bit MCUs and increased dollar content in automotive. FSL removed over $75MM in annual interest expense from the model, significantly de-risking it. We think the combination of accelerating revenue growth and gross margin expansion coupled with deleveraging is a powerful combination for significant earnings leverage over the next 1-2 years."

FSL ChartFSL data by YCharts

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs