NEW YORK (TheStreet) -- Shares of Cirrus Logic (CRUS) - Get Report  are jumping 12.52% to $47. in pre-market trading this morning after the chip manufacturer posted better-than-expected results for the 2017 first quarter after yesterday's closing bell. 

Cirrus Logic posted earnings of 44 cents per share, exceeding analysts projected 28 cents per share. Revenue came in at $259.4 million, surpassing analysts projected $236.37 million.

Last year, the company posted earnings of 68 cents per share on revenue of $210.2 million.

Cirrus Logic is a major audio-chip supplier to Apple (AAPL) and in a conference call last night, Cirrus Logic indirectly confirmed that Apple will most likely be moving to digital jack headsets in its upcoming iPhone 7. A digital headphone jack would require users to purchase a USBC, or lightning, cable, Barron's reports. 

"The interesting thing is that as the core chipsets stand today, that's quite a painful thing to do, just the way the USBC stack is handled and routing of audio and uses of voice interface is kind of clumsy in the handsets themselves," said Cirrus Logic CEO Jason Rhode in a conference call, according to Barron's. "So, we see that getting sorted out over the next 6 to 12 months in a way that makes it significantly easier for handset manufacturers to go that route, and so we would anticipate that would gain a lot of momentum over that timeframe."

The iPhone 7 is rumored for release in September, Barron's reports.

Additionally, Cirrus Logic expects its fiscal 2017 second quarter revenue to be between $380 million and $410 million.

Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:

We rate CIRRUS LOGIC INC as a Buy with a ratings score of B. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its largely solid financial position with reasonable debt levels by most measures, notable return on equity, reasonable valuation levels, expanding profit margins and solid stock price performance. We feel its strengths outweigh the fact that the company shows weak operating cash flow.

You can view the full analysis from the report here: CRUS

Image placeholder title

CRUS

data by

YCharts