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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Gary Ng who wrote (71407)	9/8/1999 7:31:00 PM
From: herb will	Read Replies (1) \| Respond to of 1576830

Gary, A year ago Intel announced a change in expectations on September 10. intel.com Intel has previously said that it expects revenue for the third quarter of 1999 to be up slightly from second quarter revenue of $6.7 billion and they expect a strong second half. So even if they don't pre announce a change it should still mean a better second quarter is expected. With regard to the upcoming Q3 earnings I thought the following comments were interesting. streetadvisor.com Intel's Continually Improving Fundamentals (NASDAQ: INTC) September 7, 1999 by Kevin Prigel "The good news for Intel shareholders keeps rolling in. First off, and most important to near term performance, is the anticipated pre-announcement of earnings this week. Many analysts close to the company are speculating that Intel will announce that their third quarter earnings will come in significantly above estimates. This upside surprise comes after two missed quarters, and may provide a nice boost to shares after the announcement. One of the reasons that Intel will be beating estimates this quarter is due to extremely strong demand for its high end processors. When the company slashed prices on Pentium III chips for desktop systems, they left the prices of 550 Mhz and 600 Mhz versions untouched. Although most analysts completely ignored this piece of the price cuts, it is a clear indication of strong demand for high-end chips. Rumors have circulated among those in the computer world that Intel has actually been unable to meet demand at times. Strong sales of high-end Pentium IIIs has also helped Intel improve margins, with upper end chips contributing much more to earnings per dollar of revenue than low-end processors. Next, Intel recently announced that they have moved up release of the 700 Mhz version of the Pentium III, code-named Coppermine to October from the end of the year. This move is wholly in response to extremely strong demand for the 600 Mhz version currently available. With the rapid growth of Internet server needs it seems the corporate world will pay anything for speed. The Coppermine should push Intel's revenues higher, improve margins even more, and drive profitability. Finally, Intel has begun slashing prices on its notebook processors just as screen supplies seems to be catching up with demand. This move should help computer manufacturers price laptop systems at a point where households will consider the purchase of an Intel powered laptop. With only 10% of laptops currently being sold to households, there's a lot of market out there to be tapped." We shall see! Herb