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Technology Stocks : Cymer (CYMI) -- Ignore unavailable to you. Want to Upgrade?

To: Ian@SI who wrote (24053)	1/24/2000 11:15:00 AM
From: Robert Douglas	Respond to of 25960

Ian and all, Merrill Lynch put out a report on Semiconductor Capital Equipment last Friday. It didn't mention Cymer by name but made positive comments nonetheless. Here is the summary: Investment Highlights: Projected 2000 Cap-ex spending up 40% from 1999 levels and up 65% from 1998 trough levels. We estimate cap-ex spending on equipment will be up between 35% and 40% as new fab construction in 2000 will increase significantly from the depressed level of brick and mortar spending in 1999. Semiconductor equipment spending will likely be focused on 200mm capacity and 0.18 micron technology buys in IH '00 and shift to 0.13 micron technology and the emerging 300mm market in 2H 100. The move to copper and a higher level of factory and tool automation should also prove to be major equipment drivers in 2000. We believe deep ultra-violet (DUV) lithography tools (scanners) will continue to be the tool in greatest demand in 2000. Additionally, demand for chemical mechanical polishing (CMP), advanced process control, high density plasma (HDP), oxide etch, and mixed signal testers should remain strong throughout the year. We believe the following companies are in the best position to capitalize on these increased spending levels: Applied Materials (AMAT B-1-1-9, $135), Novellus (NVLS B-1-1-9, $155), KLA Tencor (KLAC B-1-1-9, $138), Teradyne (TER C-2-1-9, $57 1/4), Credence (CMOS C-2-1-9, $86), ASM Lithography (ASMLF B-1-1-9, $125), and Asyst (ASYT C-1-1-9, $94).