SIMO Soars 35% in Heavy Volume

Shares of Silicon Motion (SIMO), which last night beat Q4 (Dec) expectations by $0.09 and offered upside guidance for fiscal year 2011, surged 30 percent during trading on Tuesday.

The stock of the Taiwanese designer of flash-memory cards broke out to the upside earlier, rallying as high as 35%. Volume has exploded with more than 2.7 million SIMO shares already trading hands compared to a daily average volume of just 235,000 shares. The day’s trading range for the ticker, which currently trades at a forward multiple of 18.44 and a P/E to Growth ratio of 0.62, has been between $6.56 and $7.39 per share.

Silicon Motion is pushing higher in later mid-day as price is trying to retest the current intra-day mini-resistance zone surrounding the $7.30 – $7.35 area.

At last check, SIMO was up $1.71, or 30.76%, to $7.27.

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About Ron Haruni 1123 Articles
Ron Haruni is the Co-Founder & Editor in Chief of Wall Street Pit.

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