PMC-Sierra Inc. (Nasdaq: PMCS) jumped 8 percent Friday morning after the company reported better-than-expected fourth-quarter results, and announced a stock split. Analysts were bullish on the stock.
Shares gained 13 1/4 to 187 3/4 after the maker of communications chips slid past Street estimates in its fourth quarter Thursday, earning $22.5 million, or 29 cents a share, on sales of $80.6 million. First Call's consensus had predicted 27 cents a share. PMC-Sierra shares stormed up to a 52-week high of 176 1/4 earlier this month.
Sierra also said it approved a 2-for-1 stock split, effective on about February 11, 2000 for stockholders of record as of January 31, 2000.
Friday, Warburg Dillon Read raised its price target on the stock to $225 from $200, and CS First Boston raise its fiscal year 2000 earnings estimate to $1.50 from $1.30 a share. First Call's consensus estimate calls for $1.29 a share.
-- Larry Barrett contributed to this report.