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Technology Stocks : Lucent Technologies (LU)
LU 2.730-0.5%Nov 13 3:59 PM EST

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To: DiB who wrote (15408)7/20/2000 7:19:48 AM
From: GVTucker  Read Replies (1) of 21876
 
LU reports 30¢ for the quarter, OK number.

4Q EPS growth is being guided to 15% growth. Last year's 4Q EPS was 30¢. 15% growth over that number is 35¢, under current consensus.

1Q '01 EPS is being guided to down 15%. FY '01 EPS is being guided to up 20%. If LU can hit the 4Q number of 35¢ (certainly not a done deal given their current track record), that puts the year at $1.26. That puts FY '01 at $1.51, again lower than current estimates. And given that the 1Q is targeted as down 15%, there's a lot of weight put on the back end of the year, as usual.

More bad news, and more reason to stay away for a while longer.
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