PMC-Sierra Fuels Chips Further

Chip stocks rallied Friday amid a broad-based advance based on a strengthening job market and Thursday's encouraging news from semiconductor giant Intel. Adding to the bullish buzz, PMC-Sierra offered upbeat guidance Friday morning.

Communications-chip maker PMC-Sierra said it expects revenue to meet or exceed the high end of its previously issued sales range, for $83 million to $85 million. The initial guidance implied sequential growth of 8% to 10% for the quarter ending June 27.

Analysts were expecting 7 cents earnings on revenue of $84.2 million for the company's June quarter, according to Thomson First Call. ...