Intel Corp (INTC) raised the quarterly cash dividend by 12.5%, totaling 63 cents a share in 2010. The dividend yield comes to 3.1%. The company has been paying a cash dividend for the last 17 years and has raised the dividend 14 times since it started. Intel has over $8 billion of net cash on its balance sheet, or around $1.58 a share. The $1.25 billion payment to Advanced Micro Devices (AMD) will take another 23 cents a share off the cash balance. The remaining cash ($1.35 a share) is sufficient to fund its growth plans, even after paying the higher rate of dividend. We also expect Intel to continue generating strong cash flows, based on its leading market position and product development strategies. Intel’s announcement comes as an indication of the technology turnaround. However, the company is not the first to recognize ...

Maxim Integrated Products Inc.’s (MXIM) first quarter earnings beat consensus estimates by a penny. Revenue was over the high-end of management’s guidance range of $415-445 million, or a sequential increase of 5-13%. Revenue Revenue of $449.2 million was up 13.9% sequentially and down 10.4% year over year. The sequential strength in demand was reflective of the rebound in the semiconductor sector and follows stronger results reported by other chip companies, such as Linear Technology (LLTC), Intel Corp. (INTC), Advanced Micro Devices (AMD) and Texas Instruments (TXN). Revenue by End Market The computing market generated 25% of revenue, up 13.9% sequentially and down 20% year over year. Revenue benefited from sequential strength in the server, financial terminals and notebook segments. The consumer market generated 33% of revenue, up 17.4% sequentially and 5.6% year over year. ...

For Immediate Release

Chicago, IL – October 15, 2009 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Linear Technology (LLTC), Maxim Integrated Products (MXIM), Intersil Corporation (ISIL), Semtech (SMTC) and Altera Corporation (ALTR).

Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513

Here are highlights from Wednesday’s Analyst Blog:

Linear Tops, Guidance Conservative

Linear Technology’s (LLTC) first quarter earnings beat the Zacks consensus by 2 cents. Revenue beat the consensus by 9.4%. We currently expect the entire peer group, including Maxim Integrated Products (MXIM), Intersil Corporation (ISIL) and Semtech (SMTC)

...

For Immediate Release

Chicago, IL – July 30, 2009 – Zacks.com releases the latest Zacks Industry Rank. Stocks featured in this week’s analysis include Broadcom (BRCM), Fairchild Semiconductor (FCS), Intel (INTC), Linear Technology (LLTC), Cypress Semiconductor (CY) and Texas Instruments (TXN).

Zacks Industry Rank Analysis is written by Charles Rotblut, CFA, Senior Market Analyst for Zacks.com.

This week: Q2 Results Show Chip Recovery

Twice in this column, I have said that the chip industry is in the early stages of a recovery. Second-quarter results, and the earnings estimate revisions in response to them, have so far proven my assessment to be correct.

During the month of July, 247 full-year profit forecasts were raised on companies within Electronic Computer-Semiconductor, the most of any group. In more tangible terms, analysts have increased their earnings projections on 55 chip makers.

The positive revisions follow

...

For Immediate Release

Chicago, IL – July 30, 2009 – Zacks.com releases the latest Zacks Industry Rank. Stocks featured in this week’s analysis include Broadcom (BRCM), Fairchild Semiconductor (FCS), Intel (INTC), Linear Technology (LLTC), Cypress Semiconductor (CY), Texas Instruments (TXN) and iShares Semiconductor (IGW).

Zacks Industry Rank Analysis is written by Charles Rotblut, CFA, Senior Market Analyst for Zacks.com.

This week: Q2 Results Show Chip Recovery

Twice in this column, I have said that the chip industry is in the early stages of a recovery. Second-quarter results, and the earnings estimate revisions in response to them, have so far proven my assessment to be correct.

During the month of July, 247 full-year profit forecasts were raised on companies within Electronic Computer-Semiconductor, the most of any group. In more tangible terms, analysts have increased their earnings projections on 55 chip makers.

...

Twice in this column, I have said that the chip industry is in the early stages of a recovery. Second-quarter results, and the earnings estimate revisions in response to them, have so far proven my assessment to be correct.

During the month of July, 247 full-year profit forecasts were raised on companies within Electronic Computer-Semiconductor, the most of any group. In more tangible terms, analysts have increased their earnings projections on 55 chip makers.

The positive revisions follow many better-than-expected profit reports. Though revenues and earnings were down from a year ago, many companies said revenues increased from the prior quarter. For example, Broadcom (BRCM) experienced an 18% rebound in revenues from the first quarter and Fairchild Semiconductor (FCS) saw a 25% increase.

At the same time, inventories declined for many companies. Intel (INTC), for instance, reported an approximate 8% drop in inventory levels. This is

...

Hittite Microwave Corporation (HITT) second quarter results came in at the high-end of management’s revenue guidance of $38.5 to $39.5 million and the EPS guidance of $0.32 to $0.35.  Although, operating expenses decreased 2.9% year-over-year in the quarter, Hittite’s operating margin was 40.8%, a decrease of 320 basis points over the year-ago period. EPS for the quarter was $0.35, compared to $0.43 in the year-ago period and $0.34 in the first quarter. This was in line with our estimate of $0.35.  Revenue for the quarter was $39.7 million, down 11.9% from the $45.0 million reported last year, and in line with our $39.5 million estimate. Sequentially, revenue increased 3.9% from $38.2 million, driven primarily by the growth in cellular infrastructure and microwave communication markets. Year-over-year comparisons were impacted by the weak global economic environment, which slowed demand across four of its eight served end-markets. The company ...

Intersil Corporation (ISIL) reported second quarter results that beat the consensus revenue estimate by 22.3% and EPS estimate by 8 cents. The results were as expected, reflecting reduction in channel inventories (down 7%), as well as stronger end markets. Yesterday Linear Technology (LLTC) reported results that beat the consensus, as expected. We also expect peer companies Maxim Integrated Products (MXIM) and Semtech (SMTC) to beat the consensus.  Revenue of $147.3 million was up 24.6% sequentially and down 31.9% year over year. The sequential increase was attributable to recovery in the computing and consumer markets. Computing revenue was up 40.7% sequentially, driven by strength in notebooks, market share gains in netbooks and stability in desktops and servers. There was particular strength in single phase power management products for Intel’s atom processors. Consumer revenue was up 51.9% sequentially, driven by ambient light sensors, proximity sensors and ...

O2Micro International (OIIM) has been awarded a patent for its direct current-to-direct current (DC/DC) converter controller. The company was granted eighteen claims under the United States patent number 7,508,176.

The DC/DC controller architecture integrates linear and switch mode functionalities within a single device, reducing component and pint count, and making significant improvements in terms of complexity and cost. The device is, therefore, capable of handling lines carrying both light and heavy power loads. The output voltage is even, affording enhanced efficiency even when serving a heavy load.

The company is by no means new to the field. It is a specialist in power management ICs and security components, with 11,830 patents to its credit and another 14,000 pending. This technological edge has enabled the company to weather competition from more established rivals such as Linear Technology (LLTC), Maxim Integrated Products (MXIM) and Texas Instruments (TXN). O2Micro has thus

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Maxim Integrated Products (MXIM) announced an extension of its agreement with TOMEN Electronics Group, a semiconductor distributor in South East Asia. Maxim has previously used TOMEN in other Asian countries such as India and China.Similar to peer companies such as Linear Technology (LLTC), Intersil (ISIL) and Semtech Corp. (SMTC), Maxim generates roughly half its revenue from Asia-Pacific countries. However, while it has built a strong position in China (it generated around 17% of revenue from China in the first quarter), historically management has not focused much on Japan. Consequently, the company generates only a small percentage of revenue from Japan (7% in the first quarter).Gaining a strong position in Japan would be of strategic importance at this point. The U.S. market is on the road to recovery, but demand is not expected to ...