NEW YORK (TheStreet) -- Shares of MaxLinear(MXL) - Get Report are soaring 12.45% to $18.48 on heavy trading volume late Tuesday afternoon after the Carlsbad, CA-based company reported higher-than-expected results for the 2016 first quarter.

After yesterday's closing bell, the chipmaker posted earnings of 47 cents per diluted share, beating analysts' estimates by a penny.

Revenue for the period was $102.7 million, above Wall Street's projections of $101.7 million.

Additionally, the company said it agreed to acquire certain assets and intellectual property related to Broadcom's wireless infrastructure backhaul business for $80 million.

The deal is expected to close on or around July 1 and is subject to customary closing conditions and regulatory approvals.

For the second quarter, MaxLinear forecasts revenue between $100 million and $104 million. Analysts are expecting revenue of $100 million.

Deutsche Bank reiterated its "buy" rating and $22 price target on the stock following the results.

"We view MXL's strategic transition to a more infrastructure related company as favorable, leading to accelerating year-over-year growth in 2017, with valuation expansion likely to further benefit MXL," the firm wrote in a note.

MaxLinear is also Deutsche Bank's top small-cap pick.

So far today, about 3.01 million of the company's shares changed hands compared to its average volume of 1.25 million shares per day.

Separately, TheStreet Ratings Team has a "Hold" rating with a ratings score of C.

The primary factors that have impacted the rating are mixed. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures and solid stock price performance.

However, the team also finds weaknesses including deteriorating net income, disappointing return on equity and feeble growth in the company's earnings per share.

Recently, 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.

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

Image placeholder title