Intel Corporation (INTC) Message Board

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Technology Stocks : Intel Corporation (INTC)

INTC 50.59

+4.9%

Feb 6 9:30 AM EST

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To: Anthony Mascarenhas who wrote (4849)	11/6/1996 8:36:00 PM
From: rdiamond	of 186894

Re: your question "any opinions on the increase in expenses and how it will affect the bottom line?" As a CPA, I read the press release clearly. If gross margin goes up, cost of manufactured product by definition goes down (percentage wise). The press release speaks to non-manufacturing costs clearly, indicating they too will decline percentage wise. With percentage costs declining, net income (EPS) will rise faster than sales! And this seem pretty awesome. I could estimate EPS easily, but the press release was to vague about the amount of increased sales. I'm sure all of the good analysts will figure the range out with "testing" questions privately to the company. I might even call myself.

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