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Technology Stocks : Intel Corporation (INTC)
INTC 37.91-1.4%3:59 PM EST

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To: John F. Dowd who wrote (78984)4/14/1999 2:15:00 PM
From: BelowTheCrowd  Read Replies (2) of 186894
 
John,

They met the earnings number.

They did NOT meet revenue expectations. Approximately 7.1 billion vs an expectation of ~7.5.

These days the street is looking a lot more carefully at top line growth, rather than bottom line. Been fooled too many time by companies which have pumped the bottom line by deferring expenses, one-time cost cutting, and other things which don't provide sustainable changes to earnings.

Same thing happened to HP. Managed to meet the earnings, but got killed because revenues were flat.

The street is looking for revenue growth above and beyond anything else. Of course, many take this to an extreme, as is the case with internet stocks (growing revenues phenomenally, but in many cases also growing the losses).

mg
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