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What: Shares of LED specialist Cree (WOLF -2.10%) lit up the tape today, jumping by as much as 13% after the company reported fiscal first quarter earnings.
So what: Revenue jumped 17% to $315.8 million, which turned into adjusted net income of $31.8 million, or $0.27 per share, by the time investors reached the bottom line. Both top and bottom lines registered beats relative to analyst expectations.
Now what: Fiscal second quarter sales are projected between $320 million and $340 million. Multiple analysts cheered the results, with Needham boosting its price target to $32 and reiterating its buy rating as the company executes on vertical integration. Canaccord Genuity likes the higher margins, which should alleviate investor fears about commoditization.
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