Lam Research (LRCX, NASDAQ): To the Insiders 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 : Lam Research (LRCX, NASDAQ): To the Insiders

LRCX 147.44

-0.6%

Nov 17 3:59 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Clarksterh who wrote (1757)	1/23/1998 1:29:00 PM
From: CalculatedRisk	Read Replies (2) of 5867

Clark, I re-listened to the CC (masochistic!) ... and I agree, the timing of the GM improvements is vague. According to the Company, with the projected downturn in revenues for fiscal Q3, the absorption of fixed costs may contribute a 1% decline in GM. In their words, this should be more than offset by gains in materials and warranty (product improvements). So my guess is an increase in GM from 38.5% to about 40% for this quarter. The other positives not mentioned earlier: 1) Significant additions to management - especially manufacturing and materials management. 2) 300 mm is on target (this is critical). 3) Mr. Bagley is forecasting a "strong rebound" for revenues in late '98 (early '99). They may even achieve '99 revenue goals (some of this will be driven by 300 mm - one of the main reasons to own semi-cap-equip companies) The etch discussion (as I understood it) involved the future evolution of etch products. Management sounded like they had a good handle on the future direction and they thought their products where well positioned. I am not qualified to comment further. Many institutional investors will probably wait until there is evidence of 1) GM improvements (LRCX is a turnaround) and/or 2) market conditions improve. Your July/Aug time frame sounds right! Regards, Bill P.S. I'm looking forward to AMAT's comments.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next