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Technology Stocks : Intel Corporation (INTC)
INTC 37.81-4.3%Dec 12 9:30 AM EST

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To: Patrick Thompson who wrote (35469)10/14/1997 5:34:00 PM
From: Z268   of 186894
 
Patrick,

Maybe they need a few cents (of earnings) up their sleeves for the 4th quarter?

Quote from the earnings release:
"Intel Corp. said it expects revenue for the fourth quarter of 1997 to be slightly up
from third quarter revenue of $6.2 billion."

Quick analysis:
Revenue 3Q/96 5.14B, earnings 74c
Revenue 4Q/96 6.44B, earnings $1.07

Revenue 3Q/97 6.2B, earnings 88c
Revenue 4Q/97 slight up from 3Q = 6.4B?, earnings ??

Thus, little revenue growth from 3Q/97 to 4Q/97, compared to 25% from 3Q/96 to 4Q/96.

This means Intel will have to really squeeze everything to improve earnings margins to beat 4Q/96 earnings of $1.07.

Prognosis: Tough quarter ahead??

Just my two cents worth,
Steve.
PS I am long on Intel, but I buy to accumulate l.t.
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