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Technology Stocks : Semi Equipment Analysis
SOXX 316.33+1.3%Dec 10 4:00 PM EST

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To: Donald Wennerstrom who wrote (61034)8/11/2013 11:44:41 AM
From: Donald Wennerstrom2 Recommendations

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This table addresses the yearly earnings estimates and actuals as well as repeating the quarterly numbers of the previous post.

Looking at the yearly earnings actuals and estimates at the bottom line, 2010 had the highest actuals with 2011 close behind. The actuals for 2012 show a 9.9 percent decrease from 2011. The estimated earnings for this year ending in December show an even bigger drop of -19.1 percent compared to 2012.

The really big news is the projected increase for 2014 of 45.6 percent compared to 2013. If that happens, the number for 2014 would finally get the earnings back to the levels of 2010/11. This outlook is one of the reasons(but not the only one) stock prices and the SOX have done so well since the last bottom in Nov 2012. Of course these numbers will change as we move forward in time, but as previous posts have shown, the relative earnings estimate numbers for the past few months have not changed all that much. The key is, how well will the 2014 estimates hold up as the next few weeks and months pass. Will these estimates hold their ground, or will they push out to a new time frame as they have been doing for the past couple of years?

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