Ignoring the near-term doom and gloom reported by many of its competitors, chip designer Altera
The midpoint of Altera's reiterated sales guidance remains comfortably higher than the analyst consensus. But if you thought positive signals of this magnitude would ignite a firestorm of share buys and higher prices, you'd be mistaken. The market already expected a lot out of Altera, as evidenced by a 39% rise over the past three months and 70% higher share prices year-over-year. There's a lot of short-selling interest here, but this event will not ignite any kind of short squeeze.
When all is said and done, Altera is on a strong growth trajectory both in fundamental business terms and investor enthusiasm. The company is strongly profitable, and the stock isn't terribly expensive even after the recent gains. This has been a three-star CAPS stock since early summer, only recently lifted to four-star status on the back of a veritable horde of "outperform" votes in the past couple of weeks.