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From Briefing.com: 4:30 pm : Support for large-cap tech helped the Nasdaq Composite recover from the red to finish flat, but weakness in the broader market left the S&P 500 to chop along in negative territory as participants looked past several positive headlines and strong gains by China's markets.

China's Shanghai Composite and Hong Kong's Hang Seng both booked gains in excess of 2% in their latest session as a couple of banks tightened lending in order to head off government mandates. However, neither those gains nor news that the ADP Employment Report showed a smaller-than-expected loss of 22,000 private sector jobs in January aroused support. An in-line reading of 50.5 for the January ISM Services Index was also dismissed.

Given the stock market's strong gains in the two previous sessions, buyers opted to take a break from this session's action. That's not to say that sellers reclaimed control, though; overall losses were contained.

Large-cap tech traded with strength and helped the tech sector net a 0.3% gain and the Nasdaq 100 finish the session 0.4% higher. The Nasdaq Composite finished flat as weakness among its other issues undermined its performance. Cisco (CSCO 23.07, +0.05) saw mixed interest ahead of its latest quarterly report. Still, that was an improvement from the 0.6% loss that it displayed at its session low.

Financials were particularly weak. They logged a loss of 1.4%, unable to rally around better-than-expected earnings from insurers Aflac (AFL 50.94, +1.24) and MetLife (MET 34.80, -1.57). Aflac was able to win itself support with an upside forecast, though.

Dow component Pfizer (PFE 18.62, -0.44) fell short of Wall Street's consensus earnings estimate. That encouraged pressure against other pharmaceutical stocks, which lost a collective 1.4%. The broader health care sector shed 1.1%.

Advancing Sectors: Tech (+0.3%), Consumer Discretionary (+0.2%)
Declining Sectors: Financials (-1.4%), Health Care (-1.1%), Materials (-1.0%), Telecom (-0.8%), Energy (-0.8%), Utilities (-0.8%), Consumer Staples (-0.5%), Industrials (-0.4%)DJ30 -26.30 NASDAQ +0.85 NQ100 +0.4% R2K -0.6% SP400 -0.7% SP500 -6.04 NASDAQ Adv/Vol/Dec 1077/2.32 bln/1526 NYSE Adv/Vol/Dec 1162/1.06 bln/1856

4:32PM Broadcom announces dividend policy; declares the first quarterly cash dividend of $0.08 per share (BRCM) 27.89 -0.14 : Co announced that its Board of Directors has adopted a dividend policy pursuant to which the Company intends to pay quarterly cash dividends on its common stock. The Board declared the first quarterly cash dividend of $0.08 per share payable to holders of the Company's common stock. The dividend was declared by the Board of Directors on January 27, 2010 and will be paid on March 8, 2010 to holders of the Company's Class A and Class B common stock of record at the close of business on February 19, 2010. (Briefing.com note: Annualizing the $0.08 quarterly dividend gives BRCM a ~1.2% annual dividend yield)

4:12PM Novellus beats by $0.06, beats on revs (NVLS) 22.05 +0.29 : Reports Q4 (Dec) earnings of $0.39 per share, $0.06 better than the First Call consensus of $0.33; revenues rose 29.5% year/year to $244.2 mln vs the $237.1 mln consensus. Co says "We believe the continued momentum behind the recovery in our industry is sustainable, as it is based on the return of fundamental end market demand drivers similar to the ones we saw a decade ago. While the future is never certain, we expect to see continued growth in semiconductor demand, which ultimately drives our business. This demand is being fueled by a worldwide acceleration of information technology infrastructure expansion, including the adoption of Windows 7, massive government spending worldwide to enhance security around the globe, and the rise of the Chinese consumer (who is forecasted to spend nearly four times as much on electronics as the U.S. or European consumer over the next five years). Technology has consistently been a key driver for improvement in the quality of life around the globe, and we believe there is no end in sight to the application of semiconductors to help achieve this goal."

4:12PM ON Semiconductor beats by $0.05, beats on revs; guides Q1 revs above consensus (ONNN) 7.86 +0.05 : Reports Q4 (Dec) earnings of $0.19 per share, $0.05 better than the First Call consensus of $0.14; revenues rose 1.7% year/year to $497.1 mln vs the $491 mln consensus. ONNN reports Q4 gross margins of 39.9% vs 39.2% consensus. On a mix-adjusted basis, average selling prices in the fourth quarter of 2009 were down less than 1% when compared to the third quarter of 2009. Co issues upside guidance for Q1, sees Q1 revs of $515-525 mln vs. $479.26 mln consensus. Co sees 1Q10 gross margin of 40-41%, operating expenses of $132-$136 mln, and fully diluted share count of 445 mln.

4:11PM FEI Company misses by $0.05, beats on revs; guides Q1 revs in-line (FEIC) 21.18 -0.07 : Reports Q4 (Dec) earnings of $0.17 per share, $0.05 worse than the First Call consensus of $0.22; revenues rose 1.8% year/year to $154.5 mln vs the $149.9 mln consensus. Co issues guidance for Q1, sees GAAP EPS of $0.15 - $0.20, including estimated restructuring charges of $0.02 to $0.03 per share, may not be comparable to $0.28 consensus; sees Q1 revs of $150 mln - $156 mln vs. $154.33 mln consensus. Bookings are expected to be at least $145 mln.

4:11PM Broadcom reports Q4 (Dec) results, beats on revs (BRCM) 27.89 -0.14 : Reports Q4 (Dec) earnings of $0.11 per share, may not be comparable to the First Call consensus of $0.44; revenues rose 19.2% year/year to $1.34 bln vs the $1.32 bln consensus. BRCM reports total gross margins of 53.1 % vs 52.3% consensus. Color on items included in EPS: As previously disclosed, in the fourth quarter of 2009, Broadcom announced that it had agreed in principle to settle the securities class action litigation pending against the company and certain of its current and former officers and directors relating to the company's historical stock option accounting practices. Under the proposed settlement, the claims against Broadcom and its officers and directors will be dismissed with prejudice and released in exchange for a $160.5 million cash payment by Broadcom. The company recorded the settlement amount as a one-time charge. The proposed settlement remains subject to the satisfaction of various conditions, including negotiation and execution of a final stipulation of settlement and approval by the U.S. District Court for the Central District of California following notice to members of the class. This charge reduced net income by $0.31 per share (diluted) in the fourth quarter and year ended 2009. In addition, we received $63.2 million from our directors' and officers' insurance carriers, which the company recorded as a reduction of selling, general and administrative expense. This increased net income by $0.12 per share (diluted) in the fourth quarter and year ended December 31, 2009.

4:10PM Cisco Systems beats by $0.05, beats on revs (CSCO) 23.07 +0.05 : Reports Q2 (Jan) earnings of $0.40 per share, $0.05 better than the First Call consensus of $0.35; revenues rose 8.0% year/year to $9.81 bln vs the $9.41 bln consensus. Reports Q2 gross margins of 64.5% vs Street at 64.8%... Days sales outstanding in accounts receivable (DSO) at the end of the second quarter of fiscal 2010 were 39 days, compared with 32 days at the end of the first quarter of fiscal 2010, and compared with 29 days at the end of the second quarter of fiscal 2009. Inventory turns on a GAAP basis were 12.1 in the second quarter of fiscal 2010, compared with 11.6 in both the first quarter of fiscal 2010 and the second quarter of fiscal 2009. Non-GAAP inventory turns were 11.7 in the second quarter of fiscal 2010, compared with 11.3 in both the first quarter of fiscal 2010 and the second quarter of fiscal 2009. "From a financial standpoint, Q2 was an outstanding quarter. Our performance with an eight percent year-over-year increase in Q2 revenue represents our third sequential quarter of positive growth and was well above the strong guidance we outlined during our first quarter conference call... We delivered strong gross margins and added $2.5 billion in cash from operations during our second quarter, bringing our total of cash and investments to $39.6 billion. We believe that these results demonstrate the strong foundation from which we can continue to focus on growing and capturing market transitions in our industry."

4:08PM Pericom Semi beats by $0.01, beats on revs; guides Q3 revs above consensus (PSEM) 9.11 -0.28 : Reports Q2 (Dec) earnings of $0.10 per share, $0.01 better than the First Call consensus of $0.09; revenues rose 16.6% year/year to $35.8 mln vs the $35 mln consensus. Co issues upside guidance for Q3, sees Q3 revs of $34-36 mln vs. $33.00 mln consensus. Gross margins are expected to be in the 33% to 35% range. Co said, "We look forward to resuming our revenue growth and delivering better operating results in 2010."

9:46AM Emcore enters into an agreement to sell a majority interest in its fiber optics business resulting in the completion of its restructuring (EMKR) 1.05 +0.03 : Co entered into a share purchase agreement to create a joint venture with Tangshan Caofeidian Investment. Caofeidian Industry Zone is a fast developing area in the strategic Bohai Rim Economical Region with a total investment of $26.4 billion, and hosts a large number of corporations and enterprises, including China Capital Steel, Sinopec, and others. The agreement provides for TCIC to purchase 60% interest in EMCORE's Fiber Optics business (excluding its satellite communications and specialty photonics fiber optics product lines), which will be operated as a joint venture once the transaction is closed. The new joint venture entity will be named EMCORE Fiber Optics, Limited (EFO), and registered in Hong Kong. The agreement provides for TCIC to pay EMCORE ~$27.8 million in cash and provide an additional funding of $27 million to EFO after the closing. The Fiber Optics businesses included in this transaction are EMCORE's telecom, enterprise, cable TV, fiber-to-the-premises, and video transport product lines. EMCORE will retain the satellite communications and specialty photonics fiber optics product lines as well as the satellite and terrestrial solar businesses.

8:13AM On The Wires : TriQuint Semiconductor (TQNT) announces that the Compensation Committee of its Board of Directors approved a stock option award for an aggregate of 160,000 shares of TriQuint's common stock under the Company's 2008 Inducement Award Program to one new employee who will serve as the Company's Vice President of Texas Operations...

8:04AM Silicon Labs beats by $0.22, reports revs in-line; guides Q1 revs above consensus (SLAB) 44.35 : Reports Q4 (Dec) earnings of $0.84 per share, $0.22 better than the First Call consensus of $0.62; revenues rose 28.1% year/year to $127.2 mln vs the $127.4 mln consensus. Non-GAAP gross margin for the quarter was up again to 65.7%. Non-GAAP gross margin for the year was 63.8%, an industry-leading result when paired with the company's revenue growth. Co issues upside guidance for Q1, sees Q1 revs of $120-$125 mln vs. $118.69 mln consensus.

7:01AM Silicon Storage to be acquired by MCHP for $2.85 per share in cash (SSTI) 2.69 : Microchip Technology Incorporated (MCHP) announces it has signed a definitive agreement to acquire Silicon Storage Technology (SSTI) for $2.85 per share in cash. As separately announced today by SST, SST has terminated its previously announced merger agreement prior to entering into the definitive agreement with Microchip. The acquisition has been approved by the Boards of Directors of each company and is expected to close in the second quarter of calendar 2010, subject to approval by SST's stockholders and other customary closing conditions. "This acquisition enables Microchip to gain earlier access to SST's advanced technologies, as well as the ability to customize technology variants that can give us an advantage over competing technologies." "We believe this is an attractive transaction for SST's stockholders, as it presents a significant premium to the prior transaction and requires no external financing," continued Mr. Sanghi. "We look forward to completing this transaction early in the second calendar quarter of 2010."

6:58AM ATMI beats by $0.02, beats on revs (ATMI) 16.50 : Reports Q4 (Dec) earnings of $0.22 per share, $0.02 better than the First Call consensus of $0.20; revenues rose 20.9% year/year to $84.6 mln vs the $76.8 mln consensus. Co says given the opportunities available in the advanced technology generations, for 2010 they are planning for an $8 - $10 million increase in R&D spend. Co also says "... For ATMI, differentiated growth should come from the high-end, very high-performing devices where our customers need the advanced materials and process integration expertise that ATMI offers, and which is the focus of our High Productivity Development investments. 2010 should be a year of growth, with many forecasters predicting healthy wafer start increases that should help strengthen our base business. We expect to see the pace of new technology adoption accelerate as we move through 2010."