UPDATE 1-Smart Modular raises Q2 outlook, shares rise

* Sees Q2 GAAP shr $0.16-$0.18 vs prior view $0.06-$0.08

* Sees Q2 rev $140-$145 mln vs prior view $125-$135 mln

* Sees Q3 GAAP shr $0.07-$0.09, rev flat sequentially

* Shares jump 13 pct

Feb 1 (BestGrowthStock) – Chipmaker Smart Modular Technologies Inc
(SMOD.O: ) raised its second-quarter outlook buoyed by a strong
pricing environment and demand from PC and enterprise markets,
sending its shares up as much as 13 percent.

Newark, California-based Smart Modular now expects
second-quarter earnings of 16 cents to 18 cents a share,
compared with analysts’ average expectation of 8 cents a share,
according to Thomson Reuters I/B/E/S.

Excluding items, the company expects earnings of 14 cents
to 16 cents a share.

Smart Modular, which makes memory modules and solid state
storage products, raised its second-quarter sales forecast by
about 10 percent and now expects revenue in the range of $140
million to $145 million.

The company also forecast third-quarter earnings of 7 cents
to 9 cents a share, compared with analysts’ expectations of 8
cents a share.

Sales for the third quarter will be relatively flat
sequentially as demand stabilizes, the company said in a
statement.

Shares of the company, whose rivals include Netlist Inc
(NLST.O: ) and Stec Inc (STEC.O: ), were trading up 8 percent at
$6.57 Monday morning trade on Nasdaq.

Stock Investing
(Reporting by Sudipto Ganguly in Bangalore; Editing by Anne
Pallivathuckal)

UPDATE 1-Smart Modular raises Q2 outlook, shares rise