Investing

Conexant One To Watch on Guidance (CNXT)

Conexant Systems Inc. (NASDAQ: CNXT) did something unusual even for a small cap stock.  The communications chip company raised its guidance.  It now sees EPS of $0.24 to $0.26 vs. $0.15 estimates.  It also reiterated Q4 revenues at $120 to $125 million vs. estimates of $122.27 million. It now expects core gross margins of 54% to 55% rather than 51% to 52% because of a richer than anticipated product mix.  A semiconductor company for communications chips raising guidance in this environment is rather rare, even for a $150 million market cap stock. The company also attributed better than expected cost management.  Shares are indicated up around $3.00 after a $2.88 close, although so far no volume has been seen.  Its 52-week trading range is $2.68 to $14.80.

Jon C. Ogg
September 30, 2008

Sponsored: Find a Qualified Financial Advisor

Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.