Following from CBS Marketwatch
Two companies meeting original forecasts? Dell and GTW?
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Goldman cools on PCs
Sun Microsystems (SUNW) shed after Salomon Smith Barney cut its rating to "outperform" from "buy," on concerns about further deterioration of its Asian business.
Conigliaro believes computer manufacturers face a greater risk to earnings than previously anticipated, due to a difficult June quarter, deterioration of Japanese business and the yen and signs of slowing in other geographies."These issues, along with seasonality, will generally continue in the September quarter," Conigliaro said.
She expects to reduce earnings estimates over the next few months, as she sees only two companies in the industry meeting original forecasts. Conigliaro's view mirrors the growing opinion that PC manufacturers will not see a turnaround in the second half, as originally expected, but at the end of the year or early in fiscal 1999.
Other computer manufacturers on the skids included Dell (DELL), down 7/8 at 93 1/8, Gateway (GTW), down 5/8 at 53 3/8, IBM (IBM), down 1/8 at 116 5/8 and Hewlett-Packard (HWP) down 1 at 57 1/4.
cbs.marketwatch.com |
