The "cuts" made are almost identical compared to couple weeks ago PCs were falling off the cliff - about a nickel.
Actually Intel's dual core Atom was launched only a few days ago and the upgraded Core i7 and i5 are scheduled to launch in September.
BTW GM now sells more cars in China than in US - and Ford is going after India.
I think the analysts will keep pressure on while downgrades continue to trickle in.
JMP Securities analyst Alex Gauna this morning repeated his Market Outperform rating and $30 price target on Intel (INTC), but trimmed his EPS estimates to reflect near-term softness in PC demand. For 2010, he now sees profits of $2.05 a share, down from $2.10; for 2011, his new estimate is $2.25, down from $2.30. The reductions, he writes, reflect “a worse than expected back-to-school sales cycle and the modestly dilutive impact of the McAfee acquisition.”
That said, Gauna contends that with the stock down almost 10% this year, and with the share trading at 8-9x out-year EPS estimates, the stock offers “a compelling entry opportunity.”
As for the McAfee deal, he thinks the acquisition is “a sound strategic move that will anchor Intel’s leadership position in cloud computing and can differentiate initiatives in smart phones, tablets, and embedded applications.”
INTC today is up 3 cents, at $18.51. |
