Mary, re: Managing expectations/analysts
My take. I used to agree with you, and posted MANY similar notes of this thread over the years. If Intel could manage expectations with the skill that Microsoft does, it would probably lead to more predictable results and a higher PE.
Intel is very rigid, it appears that all their statements are public, there are no whispers to guide analyst between statements. In other words, no selective disclosure. You and I get information at the same time as the analysts, and their institutional customers.
If you actively manage expectations, you better be very good at it. Last week HP selectivly disclosed to the analysts, one at a time during the course of a day, that they were less than confident about the quarter. As you might expect, the stock tanked on large volume during the day. At the end of the day, they announced the info to the general public. I guess you would call this mis-managing expectations.
So after all these years of owning Intel, I've changed my mind. I prefer to have the same information that everyone else has. No games, no selective disclosure. A level playing field.
John |
