By midmorning, shares had added 31.7% to $2.31. Trading volume of 1.3 million was more than seven times its three-month daily average.
The wireless software developer posted a net loss of a penny a share in the three months to December. Analysts surveyed by Thomson Reuters had anticipated a net loss of 3 cents a share.
Revenue of $11.84 million was 1.6% lower year over year and beat estimates by $70,000.
TheStreet Ratings team rates SMITH MICRO SOFTWARE INC as a Sell with a ratings score of D-. The team has this to say about their recommendation:
"We rate SMITH MICRO SOFTWARE INC (SMSI) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, disappointing return on equity and weak operating cash flow."
- You can view the full analysis from the report here: SMSI Ratings Report