Semiconductor stocks and sector-related ETFs jumped Thursday after a handful of chipmakers revealed better-than-expected fourth quarter results.
The iShares PHLX Semiconductor ETF (NasdaqGM: SOXX) and VanEck Vectors Semiconductor ETF (NYSEArca: SMH) were among the best performing non-leveraged ETFs on Thursday, rising 5.8% and 5.9%, respectively.
The sector strengthened on positive fourth quarter earnings. For example, Xilinix (XLNX), the maker of logic chips, revealed a record revenue on 5G strength and likely market share gains from Intel Corp, Bloomberg reports. Raymond James analysts pointed out that the semiconductor company benefited from early 5G deployments wins in defense and space, and leadership in the Test, Measurement & Emulation division.
XLNX shares surged 18.4% Thursday.
Lam Research (LRCX) announced better-than-expected revenue and non-GAAP earnings per share, The Motley Fool reports.
“Lam delivered solid results in the December quarter, and concluded the 2018 calendar year with record revenue and earnings per share performance,” Lam Research CEO Timothy Archer said in the company’s earnings release.
LRCX shares advanced 15.7% Thursday.
Teradyne (TER) also reported fourth-quarter 2018 earnings beyond expectations.