PortalPlayer shares climbed on their first day's trading last Friday.
The company - which was instrumental in creating Apple's market-leading iPod, and which continues to produce components for that product - saw its share values climb 51.76 per cent on its Wall Street debut. They closed at $25.80 per share.
An analyst told Reuters: "PortalPlayer is the sole supplier of (MP3) decoder chips to Apple's iPod."
He predicts continued success for the iPod, and for PortalPlayer.