Driven by important factors such as strong earnings growth of 29%, this stock has surged 58% over the past year. We feel that Exponent should continue to climb despite its already impressive performance. The company believes that it remains well positioned to capture new opportunities for growth as it moves further into fiscal 2008. For the full year, management expects to report high single-digit to low double-digit growth in revenue as a result of the company's plans to pursue strategic opportunities. However, Exponent's future results could be negatively impacted by any disruptive changes in both general and industry-specific economic conditions and the effects of tort reform and government regulation of the company's business. Pericom Semiconductor ( PSEM) designs, develops and markets high-performance interface integrated circuits and frequency control products used in advanced electronic systems. Interface ICs transfer, route and time electrical signals among a system's microprocessor, memory and various peripherals and between interconnected systems. FCPs are electronic components used as time and frequency clocks in electronic products ranging from computers and telecommunications switching equipment to cell phones and televisions. Pericom's interface products increase system bandwidth. We have rated Pericom a buy since February 2007. The company reported that its earnings for the third quarter of fiscal 2008 surged 58% year over year, bolstered by strong demand. Aided by strong demand for products used in digital video high-performance PCs and servers, total revenue for the quarter climbed 36% to $41.18 million, vs. $30.2 million a year ago. Net income for the quarter increased to $4.1 million, or 16 cents a share, from $2.6 million, or 10 cents a share, in the year-ago quarter. The company expanded its Digital Video solutions by launching two new switches that allow next generation computing platforms using dual function graphics ports to be switched between either of the high speed protocols. Pericom also launched three new signal conditioning products and expanded its Timing portfolio.