Cree, Inc. (CREE) reported results after the bell today that were a touch better than analyst estimates.  The EPS came in at .55 vs the analyst estimate of .51 on revenues of $265 million vs the analyst estimate of $264 million.  While those are record numbers and represent growth both sequentially and quarter over quarter, traders always want to what guidance will be especially when a stock is run so far so fast.  I’ve said it here before and I’ll say it again.  The quarterly numbers often don’t matter since it’s already been priced in.  If the guidance isn’t there, the stock will sell off and the higher they fly, the harder they fall. 

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CREE’s guidance was mixed, so traders are selling first and asking questions later.  While the company is posting EPS guidance above the consensus estimate of .54 with a range of .56 – .59, the revenue guidance number falls short. They are targeting $270 – $280 million in revenue vs the estimate of $284. 

CEO Chuck Swoboda commented on the quarter:   “Fiscal 2010 was a great year for Cree and the LED lighting revolution.  We made good progress building momentum in our business and delivering on our four key objectives for the fiscal year. Entering fiscal 2011, we are focused on extending our leadership position while we build the scale, cost structure and channels to win in the market.”

CREE is down about 10% in after hours trading, but will likely open right around support at that 200 day moving average.  A close below that level around $63 likely sets it up for a test of the next level of support around $60.