From Briefing.com: NVEC NVE Corp: Asensio & Co out with negative call; stock trades down 2.40 pts in pre-market (45.75 ) In a note out this morning, Asensio expresses doubt that NVEC possesses any valuable MRAM technology. Firm believes that Motorola licensed NVE's patents while forming an MRAM patent portfolio early in Motorola's MRAM development program. "This was nine (9) years ago. Motorola has advanced well beyond NVE's early design. Furthermore, NVE's patents describe a one-transistor per bit read addressing scheme that have been used in DRAM chips for a very long time. Therefore, we seriously question their enforceability against any chip design." Firm also highlights recent insider selling, saying that co's founder and its CEO have sold 78% and 89% of their shares.
VSH Vishay upgraded at Raymond James (20.56 ) Raymond James upgrades Vishay to Strong Buy from Outperform based on a strong follow-through to the robust Dec qtr as well as their belief that the co will see stronger than expected earnings momentum in the upcoming quarters; firm says recent channel checks confirm universal end-mkt strength and indicate that inventory remains quite low in the supply chain, which is particularly noteworthy given that the co is in a traditionally slow seasonal period; firm also notes that the stock trades at a discount vs peers AVX and KEM. Target is $30.
7:30AM Morgan Stanley upgrades Semi and Semi Equipment industries : Morgan Stanley raises their view of the Semiconductors industry to Attractive from In-Line, as they believe the industry is in the sweet spot of the cycle, and although valuations are relatively high, they believe that solid increases in earnings power and positive surprise potential should support higher stock prices; firm also points out that semi stocks generally outperform the stock mkt when interest rates rise, which should occur in 2005. Firm also raises their view of the Semi Capital Equipment industry to Attractive from In-Line, citing a combination of positive news flow on capital spending additions, better demand for semis as volume and pricing trends improve, a better economic backdrop, and a positive Q1 earnings season as near-term catalysts for the stocks.
7:15AM Tower Semicon guides Q1 revs higher (TSEM) 6.63: Co expects its Q1 revenue of $26.5-$27.5 mln, up from previous guidance of $23-$25 mln and vs consensus of $24.4. mln.
7:11AM WSJ article suggests recent move in semi stocks might provide chance to "lighten up" : The WSJ's column "Ahead of the Tape" discusses semiconductor sector that peaked out in mid-Jan. and has been slipping since. The article notes that in the past two days, investors have been getting into the sector. The thinking is that anything down must be a bargain. However, the article suggests the recent move could be providing a chance to lighten up. No one wants to believe that the cycle has maxed out. According to the article, the time to sell semis is when all the co's are reporting good news, when margins are high and when you can't swing a mouse without hitting a bullish analyst. National Semiconductor had a strong earnings report and outlook last week, Texas Instruments had an upbeat forecast, but the stocks didn't respond well. This raises some speculation that investors are anticipating some difficulty ahead. Moreover, there have been pockets of mediocre news. Agere, a maker of communications chips, warned that its current quarterly earnings would disappoint.
7:10AM Entegris beats by $0.02, guides above consensus (ENTG) 11.93: Reports Q2 (Feb) earnings of $0.07 per share, $0.02 better than the Reuters Research consensus of $0.05; revenues rose 46.3% year/year to $80.0 mln vs the $75.4 mln consensus. Company says it expects sequential sales growth of 10-12%, which equates to revenues of $88-89.6 mln, consensus $83.3 mln.
6:42AM MSFT: A proposal considering fines will be on table next Wednesday -- EU's Monti :
6:40AM MICROSOFT AND EU FAIL TO REACH AGREEMENT IN SETTLEMENT TALKS :
6:34AM European Summary : European stocks showing moderate losses after a two day bounce after German drug and chemical firm Bayer (BAY) posted an unexpectedly large loss. Bayer said it made an operating loss of 1.2 bln euros in 2003, and despite attempts to reassure investors with its aim for earnings growth this year, the stock sank 4.3%. LG.Philips LCD, the world's top maker of LCDs, said it would invest $21 bln in flat displays over the next 10 years. LG.Philips LCD is a South Korean-based joint venture between LG Electronics and Philips Electronics NV (PHG). Vivendi (V) Chief Executive Jean-Rene Fourtou said the company could have 5-8 billion euros ($6.2-$9.9 billion) available for acquisitions by 2005, with the focus on being a major European media player. German chipmaker Infineon (IFX) was up close to 1.5 percent after Merrill Lynch raised its rating on the stock to Buy from Neutral. Top Japanese officials stepped up their battle of wills with foreign exchange markets on Thursday as the yen surged against the dollar, warning they will act against sudden moves though only when necessary. Dollar moderately down vs the euro on expectations among economists reports today will suggest U.S. manufacturing growth is stalling, slowing the creation of jobs needed for the Federal Reserve to raise its target interest rate from a 45-year low... UK -0.28%, France -0.40%, Germany -0.55%, Spain -0.41%. |
