From Briefing.com: S&P futures vs fair value: -7.5. Nasdaq futures vs fair value: -11.0. Pre-market indicators are pointing to a weaker start to the session with action somewhat subdued. The market has been on a modest winning streak headed into the end of the quarter and it will be interesting to see if the momentum can be maintained in the face of the warnings (ATMI, ASML, PLCE, MO, WYE, VSEA) and negative sector commentary (paper, tobacco, consumer products and comm IC). The stronger data has had little impact.
GSPN GlobeSpan Virata downgraded at Prudential (2.55) Prudential downgrades to HOLD from Buy based on decreased confidence in the near- to mid-term as visibility continues to be challenging in the face of a weak telecom mkt; cuts price target to $3 from $5.
SLR Solectron upgraded at Thomas Weisel (2.21) Thomas Weisel upgrades to ATTRACTIVE from Mkt Perform following better than expected earnings; raises FY03 est to $0.06 from $0.02.
Goldman Sachs cuts estimates for Comm IC stocks Goldman Sachs cuts 2002-03 ests for AGR.A, AMCC, BRCM, CNXT, PMCS, TUNE, TXCC, and VTSS; says recent checks combined with further end mkt deterioration makes firm increasingly concerned about the slope of growth in Q4 and the magnitude of the recovery in 2003; maintains ests for MRVL.
7:34AM S&P futures vs fair value: -6.1. Nasdaq futures vs fair value: -6.0. Futures pointing to a weaker open this morning after two days of solid gains in the Dow; two downgrades of GE (CSFB, Lehman) are weighing on the market, as is a warning from Wyeth (WYE). On the tech front, ASML helped ignite a rally earlier this week by raising second half guidance, but today it said that the first half of 2003 would disappoint.
7:30AM Varian Semi announces guidance, restructuring (VSEA) 15.61: Company sees revenues of $85-105 mln and breakeven EPS in Sep qtr vs Multex estimates of $101 mln and $0.04; also announces that it will reduce workforce by 15%, or 1,370, as pace of semiconductor recovery is slowing.
7:17AM ASML Holding sees slowdown in H1 2003 (ASML) 6.71: After encouraging the market the other day with its reaffirmation of a 100 system shipment target for the second half of 2002, ASML reportedly disappointed investors today, according to Bloomberg, by saying that shipments in the first half of 2003 would fall 10-15%.
7:03AM General Electric downgraded at Lehman, CSFB (GE) 26.39: Lehman downgrades to EQUAL-WEIGHT from Overweight, saying the recovery of the short cycle businesses has stalled and losses at ERC are pressuring GE Capital earnings; trims 2002-03 ests. CSFB downgrades to NEUTRAL from Outperform, as firm is concerned that GE is caught in a no-win situation for at least the next 18-months: if the economy continues to weaken the co's results will be negatively impacted, yet significant upside to the co's earnings in an economic rebound will be capped by the impending deflation of the power bubble; trims 2002-03 ests.
finance.yahoo.com^SOXX+AGRa+ALTR+AMAT+AMD+ASML+BRCM+CNXT+GE+GSPN+INTC+KLAC+LLTC+LSCC+LSI+MO+MOT+MU+MXIM+NSM+NVLS+PLCE+PMCS+TER+TUNE+TXCC+TXN+VSEA+VTSS+WYE+XLNX&d=t
RtS |
