Cymer (CYMI) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Cymer (CYMI)

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: john d who wrote (6073)	10/23/1997 7:00:00 PM
From: Patient Engineer	Read Replies (1) of 25960

I especially like, "Based on...significant orders received since the close of the third quarter..., we currently expect continued sequential revenue growth for at least the next two quarters," How are the analysts going to pick apart Cymer? 1. Earnings didn't go up nearly as much as revenue. But this is mostly due to the US's confiscatory tax rate which is now kicking in. 2. The backlog is down 5%. But management says that orders have picket up significantly in just the last 3 weeks and the backlog at the end of the quarter still represented 3-6 months of revenue. 3. Gross margins are down. But this is basically management building up a reserve on the balance sheet to cover itself against unexpected manufacturing hiccups (which haven't happened yet). 4. Competition is coming. But even the most optimistic estimate of Komatsu's capacity is 21 lasers in the next six months. Cymer reports they can build roughly 500 in the same time frame. Lambda Physiks is the wildcard here. 5. The government is nationalizing the EUV laser industry. But it will take a long time before the government does this and they'll probably screw it up like they do everything else. 5.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next