Is this the news ?
This is not today's news, but Dec 30, 1997.
Narotham
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Europe Stk Focus: ASML Shrs Seen Rising
By Heleen de Graaf
AMSTERDAM (Dow Jones)--Shares of Dutch group ASM Lithography NV
(ASML) seem set to rise despite the crisis on financial markets in Asia.
The stock of the producer of wafer steppers, an important element in theproduction process of semiconductors, plunged recently on the back of Asian problems. ASML was hit especially hard by the problems in South Korea, where a number of the group's important customers are based.
After starting 1997 at 86.30 NLG and surging 144% to a high of 210.70
NLG, the stock has fallen sharply. It closed Monday at 131.00 NLG, down 38% from its year-high.
'It's a volatile share,' Pieter van Gelder, analyst with Delta Lloyd Bank said adding the market had overreacted somewhat.
'The share was banned by investors because of Asia but as long as the
company says the orders are still there, there's no reason for me to
downgrade the stock to a sell,' Van Gelder said. He rates the stock as a buy now.
The turmoil in Asia and the skittishness it has caused technology investoreven in other parts of the world make short-term predictions difficult.
Amsterdam-based analysts declined to give a projection for the share in the coming weeks but said that, looking at the profit expectations, it was 'a bit undervalued' at the current level.
Oskar Tijs, analyst with Friesland Bank Securities, said AMSL shares could rise to 170.00 NLG in the next 12 months.
Tijs said he is optimistic as the group is expected to show profit growth in 1998. The analyst sees ASML's earnings per share at 4.10 NLG in 1997 and rising to 6.25 NLG in 1998 and 7.90 NLG in 1999.
Despite the fact he does expect some orders from South Korea to be
postponed, Tijs, noting the group's capacity shortage, said this shouldn't have any dramatic effects as the orders can be placed somewhere else.
South Korean companies Hyundai Electronics Industries Co. Ltd and
Samsung Electronics Co. Ltd are said to have postponed by one year orders for ASML's I-line steppers but, according to Van Gelder, ASML has said it can sell the machines in Taiwan or the U.S..
It's unknown how much the delayed order is worth. However, in
September, ASML said it had received an order of over $170 million from Hyundai for the the delivery of I-line steppers and the more advanced deep-UV steppers.
Asia made up just under 50% of ASML's order portfolio at the end of
October and recent negotiations with U.S. companies Motorola and Texas Instruments about the sale of wafer steppers, could indicate the group is trying to reduce that exposure.
The deal is expected to be completed in March.
DESCRIPTION: ASM Lithography develops, manufactures, markets and
services advanced photolithography projection systems ('wafer steppers') that are essential to the fabrication of modern semi-conductors.
ASM Lithography supplies wafer steppers to integrated circuit
manufacturers throughout the U.S., non-Japan Asia and Western Europe.
The company is listed on NASDAQ as well as on the Amsterdam Stock
Exchange.
Headquarters: Veldhoven, The Netherlands.
SIGNIFICANT DEVELOPMENTS: In January 1997, Philips Electronics
NV said it will sell off 3.95 million shares in its partially-owned subsidiary ASM Lithography Holding NV, reducing its stake to 23.9% from its current 34.5%. Philips has been divesting from ASML because its activities are not part of Philips' core business.
All figures are rounded and in guilders
6-Mos To 6-Mos To Year To Year To
06/30/97 06/30/96 12/31/96 12/31/95
Net Pft *147.0 Mln 100.7 Mln 217.7 Mln 131.4 Mln
Revenue 766.5 Mln 597.0 Mln 1.33 Bln 917.72 Mln
EPS *2.13 1.49 6.36 4.06
Div. -- -- 0.0 0.0
* includes extraordinary gain of 31.1 mln NLG
currency history (dollar vs. guilder)
07/01/97 07/01/96 12/30/96 12/29/95
Fixing 1.9597 1.7083 1.7471 1.6023
By Heleen de Graaf; 31-20-626-0770; hdegraaf@ap.org |
