Hi Tony, I want to get to your James Bond work out there on the Central Expressway but just have time for this quick post at the moment. From Bloomberg after the bell. Jeff
Applied Materials Rises 3.3% Amid Earnings Optimism
Santa Clara, California, July 6 (Bloomberg) -- Applied Materials Inc. shares rose 3.3 percent amid optimism that the world's No. 1 maker of semiconductor equipment will beat expectations for its fiscal third-quarter earnings.
Shares of the Santa Clara, California-based company rose 2 3/8 to 74 1/2 in trading of 9.03 million. The stock reached a record 75 15/16 earlier in the day, and has gained 75 percent so far this year.
Applied may beat the average First Call Corp. estimate of 53 cents a share for the quarter ending this month when it reports earnings on Aug. 12, analysts said. The company topped forecasts in the first two quarters of its fiscal year as it recovered from a sharp drop in orders for chip equipment in 1998.
''There are expectations of an upside that are being priced into the stock right now,'' said Prudential Securities Inc. analyst John Pitzer, who rates the shares ''accumulate.''
Individual estimates among analysts polled by First Call range from 50 cents to 55 cents.
Pitzer said it's too early to revise his third-quarter estimate. Applied is benefiting from investor optimism ahead of next week's Semicon West trade show in San Francisco, and signs of recovering economies in Asia, he said.
Applied earned 36 cents a share in its second quarter, beating forecasts for 27 cents. In the week leading up to its earnings release, though, analysts said Applied could earn as much as 35 cents.
In its first quarter, Applied earned 11 cents, almost double the First Call average estimate of 6 cents.
Jul/06/1999 16:53
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