This wire story snippet contains an excerpt from the Sanford C. Bernstein note:
"We feel confident that Sun will meet or exceed its Q1 01 revenue growth rate of 60 percent in the upcoming Q2. Given investors have historically rewarded SUNW for short-term performance, we rate the stock outperform," they said in the note after meetings with Sun executives.
Sun revenue in the first quarter of fiscal 2001, which ended in September, was $5.05 billion, 60 percent up on a year earlier.
"Beyond Q2, however, as comparisons get tougher, it is very likely that SUNW's growth rate will slow; moreover, we do worry about fundamental issues, including the increasing consolidation in the Unix arena, a possible telco spending slowdown, and the encroachment of (Intel Architecture)-based systems. We encourage investors to monitor these issues going forward," they said.
That's nice. In a quarter where everybody else has warned, they're admitting that, like many times in the past, Sun will be the ONLY computer company to beat its numbers. They're keeping their highest rating on the stock. But, also like so many have done so many times in the past, these rock-solid street citizens are warning their research customers on Sun's behalf regarding future quarters.
Future quarters haven't started yet of course, so this can't possibly be based on any real data. The real data is that everyone EXCEPT SUNW's sales have tanked.
I'll tell ya, Sun's gonna warn one way or another. Do you watch "The Sopranos's"<g>?
--QS |
