Mike: This analyst seems share some of you view about "Channel stuffing", although it is about Apple.
RESEARCH ALERT - Apple Computercut -source
NEW YORK, Jan 14 (Reuters) - Salomon Smith Barney downgraded personal computer maker, Apple Computer Inc. (Nasdaq:AAPL - news), to a neutral from a buy based primarily on price, a source at the brokerage said.
-- According to the source, Salomon's analyst, Rich Gardner, thought Apple was able ''to make their quarter earnings numbers because they stuffed the product channel and might not make next quarter's numbers,'' the source said.
-- Apple reported net income tripled to $152 million or $0.95 a share on a diluted basis, in its fiscal first quarter ended December 26, from $47 million, or $0.33 in the year-ago quarter.
-- According to the source, Gardner wrote in a morning research report that major computer retailers such as Best Buy Co Inc. (NYSE:BBY - news) and CompUSA Inc. (NYSE:CPU - news) were forced to sell iMac's, the company's hot new colorful computer that has helped lead it back to profitability, at a loss toward the end of the quarter in order to clear out inventories.
-- Apple's stock closed Wednesday Jan. 13 at 46-1/2 on the Nasdaq stock market.
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