logo
Plus   Neg
Share
Email

Stock Alert: Maxim Integrated Shares Up 15% In Premarket

Shares of Maxim Integrated Products Inc. (MXIM) are rising over 15% in pre-market today, after the company said it now expects Q4 net revenue to be about $545 million, versus its prior guidance range of $480 million - $540 million. Twenty Wall Street analysts have a consensus revenue estimate of $511.23 million for the quarter.

"Strong performance by our manufacturing operations, including our test facilities in the Philippines, resulted in better-than-expected June quarter revenue," said Tunc Doluca, President and Chief Executive Officer. "Despite recent global events, Maxim continues to demonstrate solid execution and profitability."

Also, Analog Devices, Inc. (ADI) and Maxim Integrated Products, Inc. (MXIM) announced that they have entered into a definitive agreement under which ADI will acquire Maxim in an all stock transaction that values the combined enterprise at over $68 billion.

This transaction is expected to be accretive to adjusted earnings in 18 months subsequent to closing with $275 million of cost synergies by the end of year two, driven primarily by lower operating expenses and cost of goods sold.

The stock has been trading in the range of $41.93 - $65.73 for the past one year, and closed Friday's trade at $64.09, down 38 cents or 0.59%. MXIM is currently trading at $74.25, up $10.16 or 15.85% in the pre-market session.

For comments and feedback contact: editorial@rttnews.com

Business News

Follow RTT