RESEARCH ALERT - Lehman positive on KLA-Tencor
NEW YORK, Dec 30 (Reuters) - Lehman Brothers semiconductor equipment analyst Ed White named KLA-Tencor Corp.(Nasdaq:KLAC - news) its top pick for 1999, among equipment makers.
-- White says the ''company leads in a core technology that is critical for the chip industry's move to 0.18 microns in 1999 and to 0.15 microns and below in 2000.''
-- Says, ''The downturn in the chip industry has hurt the company's results and, as with other equipment manufacturers, management has limited future visibility. But cost reductions have left KLA-Tencor with favorable operating leverage.''
-- White has 1999 price target of $57 a share, and $97 for the ''cyclical peak (estimated at 2001-2002). These price targets were based on estimates of peak EPS of $3.90, and peak price to peak EPS multiple of 25 times.''
-- Share price was up 2-9/16 to 3-7/8 on the Nasdaq stock market.
That guy must be crazy. I just don't understand why people are paying 25 PE ratio for peak EPS? Sometimes I feel I am better than those so-called analysts.
Today's trading behavior is stange, MU, TXN, ALTR, XLNX, KLAC, KLIC, LSI all up with SOX, while AMAT, NVLS down.
Jeff |
