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Technology Stocks : Intel Corporation (INTC)
INTC 41.41+2.2%Dec 5 9:30 AM EST

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To: Jean M. Gauthier who wrote (49647)3/5/1998 8:56:00 AM
From: Marc A. Bttcher  Read Replies (2) of 186894
 
very positive: 8:20 am... STILL ACCUMULATE INTEL (INTC 77****) AS PREANNOUNCES Q1 EPS SHORTFALL... says EPS will be below street mean of $0.93... We now estimate Q1 EPS of $0.67, including a nonrecurring $0.09 acquisition related charge... shortfall comes as revs. are now seen down 10% in Q1 from Q4 vs. co.'s prior guidance of flat rev. growth, due to weak demand from OEM vendors in U.S., and no relief from Japan... lower sales volume means gross margin will be 53% vs. Q4's 59%... We see this as near term issue, with recovery seen in second half... At 17x '99 EPS estimate of $4.45, INTC still attractive. /M.Graham Hackett
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