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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Amy J who wrote (97685)	1/27/2000 5:21:00 AM
From: Amy J	Read Replies (4) \| Respond to of 186894

RE: "Is the answer:" Thread, I'm adding one more item to my post #97686 4. forbes.com CEO Michael Capellas said in a conference call: "The first quarter will start out a little bit slow. We expect revenue to decline quarter-to-quarter due to seasonality and...be backloaded due to the release of Windows 2000." Other PC-makers, like Gateway (nyse: GTW) and Hewlett Packard (nyse: HWP), are also suggesting sluggish sales in the first quarter. All in all, bad signs for Intel (nasdaq: INTC), a key chip supplier to the PC market. -------------------------- Issues could be: - Y2K binge is over - seasonality - corporpate buyers could be waiting for W2K And, while Q1 could be a bit soft for manufacturers (Y2K, seasonality, maybe pricing, people are waiting for W2K), for whatever reason Intel's CC guidance indicates Q1 will be strong (maybe Intel has the right product mix for Q1 EPS). I believe Intel's CC. But even if there is a Q1 hiccup for INTC (i.e. contrary to CC guidance), the long-term for INTC is good. Translated: Q1 could be an issue, but W2K could fuel demand. i.e. Buy now (Q1) while it's cheap... So, I might pick up a few INTC (long) leaps (or, in this case, maybe C/S might be the better route). Amy J

To: Amy J who wrote (97685)	1/27/2000 6:05:00 PM
From: Paul Engel	Respond to of 186894

Amy - Re: "Is the answer: 1. HP has done wildly well, at the expense of the other mfgs? 2. What exactly did Dell mean when they said "soft" in "1. Number 1 problem was y2K. Both Jan and likely Feb very soft." 2a- Soft as in soft revenue (i.e. high demand and high unit shipments, but pricing issues expected. i.e. impacts Dell but not Intel), or 2b- Soft as in unit shipments (i.e. which would impact both Dell & Intel)? 3- is there a demand issue on one segment but a supply issue on a different segement, thus the disconnect? " With Dell, Compaq & Gateway experiencing SLOWDOWNS due to Y2K, yet SIMULTANEOOUS COMPONENT Shortages (from Intel), the only plausible explanation for Intel's "great demand" is a slew of OTHER CUSTOMERS that are not on the radar screen of most analysts. HP - as you note - is doing well. E-machines may be a wild card in taking a good chunk of lower performance Pentium IIIs plus the entire range of Celerons. Sony seems to be doing real well with their Lap Tops ( a good friend of mine just bought their Model 390 - a 500 MHz Pentium III laptop.). Maybe the Asia Pacific market is taking a lot more CPUs as well - with no one manufacturer being identified by the US press. Paul