RESEARCH ALERT - Triquint downgraded
NEW YORK, Oct 1 (Reuter) - UBS Securities said on Wednesday it cut its rating on shares of Triquint Semiconductor Inc to
hold from buy and Raymond James downgraded the stock to neutral from buy.
UBS analyst Mark FitzGerald said in a research note the downgrade was based on the company's preannouncement of
lower revenues and earnings expectations for the next three quarters, due to weakness in the wireless business.
FitzGerald said he estimated the company could report third quarter earnings of between $0.20 and $0.25 per share,
down from a previous estimate of $0.29 per share.
He said fourth quarter and first quarter 1998 would likely remain flat with that for the third quarter.
FitzGerald said he cut his 1997 estimate to a range of $0.85 to $0.95 per share, from a previous estimate of $1.07 per
share, and his 1998 estimate to $1.25 per share from a previous estimate of $1.70 per share.
``We think business at some of Triquent's wireless accounts is not ramping as quickly as expected,'' he said.
Philips Electronics NV (PHG.AS) and Lucent Technologies Inc (LU) have been experiencing delays in their product
startups which could hurt their market share positions going forward, he said.
``This would in turn affect Triquent, which last quarter projected that 60 percent of its fiscal year 1998 earnings would
come from the wireless end market,'' he said.
Further details were not immediately available from Raymond James.
More news for referenced ticker symbols: LU, TQNT, and related categories and industries: Computer-Telecom,
stock capsules, international.
Additional news and quotes: Philips Electronics NV - PHG. |
