John,
someone mentioned that here must be a rumor causing this drop, I only replied that indeed there is a rumor. I don't expect them to warn.
jim
03/09 17:01 Intel declines comment as rumors swirl about Q1
SAN FRANCISCO, March 9 (Reuters) - Intel Corp. <INTC.O> declined to comment on market rumors that the microchip group would soon pre-announce a first quarter earnings shortfall, fueling a drop in its stock Tuesday.
"I can't comment on market rumors," said Tom Waldrop, a spokesman for Santa Clara, Calif.-based Intel.
Intel shares dropped $4.31 to $115.31 in very heaving trading, especially in the last hour before the market closed.
Traders and fund managers said they had been hearing the rumor in the last hour or so of trading and they were not surprised by it, given the current PC industry environment.
"Just based on what we know about the PC business, it wouldn't be too surprising if things were a little bit light," said one fund manager who asked not to be named.
Earlier this month, the world's biggest PC maker, Compaq Computer Corp. <CPQ.N> warned of weaker-than-expected demand for personal computers.
Last month, high-flyer Dell Computer Corp. <DELL.O> reported slower-than-expected fourth quarter revenue growth.
Analysts also said that news of a significant loss in the first quarter from Intel rival Advanced Micro Devices Inc. <AMD.N> late Monday was also putting pressure on chip stocks. |
