Top Performer for Wed: TriQuint Semi (TQNT)

TriQuint Semiconductor, Inc. (TQNT - Analyst Report) hasn't released any significant news of late and won't announce its second-quarter results until Jul 22, yet the company is a top-performing Zacks #1 Rank stock today with a gain of more than 8%.

There's been discussion of late that TQNT will be able to capitalize on the mania surrounding smartphones, since it makes components for Apple's iPhone. But in addition to that, there is evidence that the semiconductor industry could be in the early stages of a recovery, as highlighted in today's Zacks Industry Rank feature titled "Second-Quarter Earnings Outlook".

Including TQNT, there are currently 9 companies from the electronic components - semiconductors industry on the Zacks #1 Rank List, which includes 223 stocks today. Those other companies include Advanced Semiconductor Engineering, Inc. (ASX - Snapshot Report), Exar Corporation (EXAR - Analyst Report) and National Semiconductor Corporation (NSM - Analyst Report).

Volume for TQNT is around 1.9 million so far today, compared to the daily average of nearly 2.4 million.

Estimates on the Rise

Analysts anticipate earnings for this year at 6 cents per share, which is up a penny, or 20%, from a month earlier as 2 of 3 analysts revised higher. Looking back over the past 3 months, that outlook has surged by 200% from 2 cents per share.

For next year, the consensus has moved higher to 36 cents, which means that analysts currently expect growth of 500% year over year. That 36-cent guidance is up 24.1% from 3 months ago and 12.5% from 1 month ago.

Are Semiconductors Recovering?

In this week's Zacks Industry Rank Analysis feature, Charles Rotblut, senior market analyst for Zacks.com, offers his second-quarter earnings outlook, which suggests that the semiconductor industry is one of the places to look for surprises.

Although profits in the quarter are likely to be down sharply, Charles sees encouraging signs out of companies like Texas Instruments (TXN - Analyst Report) and NSM - Analyst Report.

Click here to read the full article.

Q1 Earnings Beat by 9%

As mentioned before, TQNT will not release its second-quarter results until late July. However even in its first-quarter report from late April, the company was "seeing signs of inventory normalization" in some of its markets, which it said should "translate into stronger demand in the coming months".

For that quarter, revenue advanced 7% to $118.9 million, thanks to handset growth of 24% and defense & aerospace growth of 23%. TQNT reported a loss per share for the period, but it was narrower than the consensus.

The company stated that market strength in smart phones, the acquisition of WJ Communications and positive momentum in major military programs contributed to the growth.

For the second quarter, TQNT sees revenue of $140 million to $150 million, and EPS of a penny loss to a penny profit, or non-GAAP EPS of 2 cents to 4 cents. Analysts currently anticipate a penny profit for the quarter.