On the heels of positive earnings from
has followed up with a strong report that is contributing to gains in the high-tech sector.
Excluding one-time items, Texas Instruments announced fourth-quarter earnings of 59 cents a share, besting the
consensus estimate for an increase of 54 cents.
"The mighty TI!" said Scott Nirenberski, director of semiconductor research with
Credit Suisse First Boston
. "It's a really solid report, and the outlook was pretty solid, too."
Nirenberski said the $1.6 billion in earnings reported by Texas Instruments bested projections, and he was surprised at how powerful gross margins of 16% were compared to 12% a year ago. Credit Suisse First Boston, which does not have an underwriting relationship with Texas Instruments, has a buy rating on the company.
Nirenberski said the positive earnings report could also benefit
and "anything to do with wireless digital signal processing."
Texas Instruments was up 3 1/2 points to 96 1/2 in early trading. STMicroelectronics was up 2 3/4 to 93 3/4, while Conexant was up 1 5/16 to 17 1/16.
Microsoft is building on gains made in after-hours trading Tuesday and was up 10 points to 166 in early trading. The company's second-quarter earnings of 73 cents a share from income of $1.98 billion bested expectations of 59 cents, despite some cautious words from the company on its outlook.
was up 7 9/16 to 96 after reporting earnings this morning. Though the company's reported loss of 25 cents a share was only slightly better than the First Call consensus estimate for a loss of 26 cents, the company said Internet traffic was "extremely strong" in December and viewings per day of more than 172 million customers were up 69% from September.
Also, shares of
were little changed after the company reported a first-quarter loss of 15 cents a share, which matched analysts' estimates.
Earlier this month, shares of Spyglass fell around 30% after the company preannounced a loss for the quarter vs. expectations for a small gain.