We have upgraded Plexus Corp. (PLXS) to Outperform from our previous Neutral rating.  Year to date, Plexus’ shares are up 43.5%, outperforming the S&P 500 and the peer group.   Plexus’ fourth-quarter results and the guidance for the next quarter were above the Zacks Consensus Estimate. While year-over-year results were weak, hurt by recession, the company posted impressive sequential growth due to new customer wins and product mix.   Earnings per share fell 20.8% from the year-earlier profit of 48 cents but rose 65.2% from 23 cents reported in the previous quarter. Earnings benefited from a lower tax rate in the quarter. Revenues for the quarter came in at $393 million, a decrease of 17.4% from $476 million reported in the year-ago quarter but up 4% from $379 million reported in the previous quarter. The company witnessed the first sequential increase in revenue in the current quarter since

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As an engineering-focused EMS player and a leading provider of electronic manufacturing services (EMS) to original equipment manufacturers (OEMs), we believe Plexus Corp. (PLXS) is well positioned to benefit from the increasing trend of outsourcing at the medical, industrial and defense/aerospace OEMs. Revenue growth at Plexus has been above expectations, with a growth of 19.1% in 2008, above its target of 15.0% to 18.0%. Deriving more than 50% of its business from high-margin, high-growth markets such as defense/security/aerospace, medical and industrial, the company expects to increase revenue from the current $1.8 billion in fiscal 2008 to $3.0 billion by fiscal 2013. Plexus provided encouraging fourth quarter of 2009 guidance and expects revenue in the range of $380.0 – $405.0 million and earnings in the range of 27 cents to 32 cents. Looking ahead, the company expects modest sequential top-line growth in the first quarter of ...

P.T. Telekomunikasi Tbk (TLK), the largest telecom carrier in Indonesia, is likely to launch the country’s first 4G WiMAX network in first quarter of 2010. As of now, the company provides both 2G and 3G wireless infrastructure that includes GSM and WCDMA/HSPA technologies and is quickly expanding its wireless infrastructure. TLK’s wireless division, popularly known as Telkomsel has decided to raise capital expenditure plan to $1.4 billion in fiscal 2009, an increase of 25% from previous fiscal. Telkomsel commands 45% share of the total Indonesian wireless market, well ahead of its competitors, P.T. Indosat Tbk (24%), and P.T. Excelcomindo Pratama (17%).  Through WiMAX, TLK will offer an alternative to cable and digital subscriber lines technology. WiMAX enjoys commendable growth potential especially within the emerging markets. The technology provides a low-cost, open network system with an all IP mobile Internet solution that enables efficient and scalable networks for ...

Omnicity Corp. is a company based in Rushville, Indiana providing broadband access, including advanced services of voice, video and data, in un-served and underserved small and rural markets. The company plans to become a premier consolidator of rural market broadband nationwide.

Omnicity currently provides broadband access to more than 30 rural Indiana counties. The company began delivering broadband services to rural Indiana markets in 2003. They partner with local governments and rural electric cooperatives to bring broadband access to nearly 6,000 subscribers across the state.

Omnicity recently announced that it would expand its operations in Rushville, Indiana and add approximately 100 new jobs by 2012. These jobs would include customer service specialists, managers and field service personnel. The company currently employs 38 associates across its four Indiana facilities.

Omnicity is expanding its operations due to growing demand which stems from some recent acquisitions and new fiber optic construction contracts. The

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Plexus (PLXS) reported third quarter 2009 revenue of $379.0 million, above the Zacks Consensus estimate of $374.0 million, and EPS of $0.23, in line with Zacks Consensus Estimate of $0.23. Revenue for the quarter came in at $379.0 million, a decrease of 17.0% from $456.3 million reported in the year-ago quarter and 2.7% from $388.9 million reported in the previous quarter. This was in line with the company’s guided range of $355.0 million to $385.0 million. The company witnessed a relatively low level of customer demand volatility, perhaps giving an indication that the end markets may be stabilizing. The company had won 15 new manufacturing programs during the third quarter, which the company believes will generate approximately $188.0 million in annualized revenue over the next few quarters. Sector performance was not impressive -- all sectors declined sequentially. Sequentially, the Wireless Infrastructure segment was down 5.7%, ...

While industry statistics indicate that the wireless phone market is declining globally, emerging markets like China and India are helping handset makers to more than compensate the loss. Users in these countries can now have more data-intensive services on their mobile phones, such as video call and film download through the high-speed 3G networks. China will invest approximately $58 billion in 3G networks over the next three years.

The Chinese government completed the first phase of its plan to upgrade the nation's wireless infrastructure to 3G networks in January 2009. Licenses were issued to the country's largest telecom companies, China Mobile Ltd (CHL), China Unicom Ltd (CHU), and China Telecom Corp (CHA), to build and provide the nation's premier high-speed wireless networks.

The three Chinese players plan to spend over $20 billion this year alone rolling out the initial phases of their 3G deployments.

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Skyworks Solutions: Ahead of the PackShares of Skyworks Solutions, Inc. (SWKS) continues to defy gravity, reasserting the fact that the company's leading position in the power amplifier (PA) market makes it a strong and sustainable player in the handset semiconductor space. Since our last post on Feb. 6, when the shares had already seen a 54% upswing relative to our Feb. 3 recommendation price, the shares have advanced another 19% to close at $8.07 yesterday. In other words, the shares have nearly doubled since our last recommendation on Feb 3.Skyworks is primarily a handset semiconductor components vendor (77% revenues) that focuses on the analog front-end components, primarily power amplifiers. SWKS also sells non-handset diversified analog components (23% of revenues) into a broad range of end applications.We think that the company's 2009 performance will benefit from  a) diversified exposure beyond Tier-1 handset OEMs ...

You’ve probably heard about China’s colossal $600-billion stimulus package intended to jump-start its economy. But chances are you didn’t hear about the new $40-billion initiative by China’s wireless carriers to modernize the national network…

Three of China’s largest wireless carriers are making a mad dash to bring the country’s wireless infrastructure into the 21st century with a widespread upgrade to so-called 3G networks.

3G networks enable high-speed, multimedia services packed with hefty margins for the carriers. Get in now on the program and you’re likely to see healthy returns as the networks come on line.

3G achieved legendary status in the U.S. and Europe when Apple announced a revised iPhone that was 3G compatible.

For example, when AT&T (NYSE:ATT) announced Q2 results on July 23, 2008, its revenues jumped as the exclusive provider of the iPhone 3G. The new phones entered the market

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Wisconsin-based Plexus Corp. (PLXS) is a leading provider of electronic manufacturing services (EMS) to original equipment manufacturers (OEMs) in a wide range of industries, including wireline/networking, wireless infrastructure, industrial/commercial, defense/security/aerospace, and medical.Plexus Corp. has posted several quarters of strong results, with significantly higher-than-expected revenue and bookings. We believe that PLXS is among the best-positioned in the industry and is poised to grow with a strong pipeline and new customer wins in 2009 and beyond.However, macro-economic headwinds are expected to result in a reduced top-line in 2009 and the company may not be able to reach its given guidance for the first quarter. As such, we are reducing our estimates for 2009 and 2010. We maintain a Buy rating on the stock but lower our six-month price target to $22.00.Priyanka Poddar contributed to this report.Read the full analyst report on ...

WPCS International Incorporated (WPCS), a communications and wireless infrastructure engineering services company, reported first quarter 2009 financial results this afternoon after the close. Revenues rose to $28.3 million, an increase of 29.6% year-over-year from $21.8 million. One analyst surveyed anticipated quarterly revenues of $28.0 million. Net income fell 35% to $838,000, or 12 cents per share, compared to $1.3 million, or 16 cents per share, for the same period last year. There were no analyst earnings estimates. Backlog of unfilled orders rose 74% to $54 million, compared to $31 million on July 31, 2007.

“We are pleased with our results for the fiscal 2009 first quarter, which met our internal expectations,” said Andrew Hidalgo, WPCS International’s Chairman and Chief Executive Officer. “Our revenue continues to grow despite an operating environment that remains somewhat challenging due to economic conditions. We remain focused on providing high

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