Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: L. Adam Latham who wrote (110825)	9/22/2000 4:01:33 PM
From: Tony Viola	Respond to of 186894

Adam, we were talking about would might happen to the bottom line for Intel with this revenue shortfall. I borrowed this post on a Merrill Lynch call, from Albert on the AMD mod thread. FWIW, they think inreased financial income could keep earnings in line this Q. Thanks to Albert. Tony More capital gains from intel: 08:28am EDT 22-Sep-00 Merrill Lynch (Investor Support) AMCALL INTC AMD SUMMARY RESEARCH SUMMARIES:Morning Notes Summary; Part 5 ML++ML++ML Merrill Lynch Global Securities Research ML++ML++ML RESEARCH SUMMARIES Morning Notes Summary; Part 5 Investor Support European Semiconductors Intel Warning will Hurt the Sector, but This Could Mark the End of Negative News Momentum o Intel (INTC; B-2-1-7; $63.062) which has been plagued by undercapacity this year, has warned that Q3 revenue growth will be 3-5% rather than 7-9% sequentially ($8.6bn instead of $8.9bn, from $8.3bn in Q2) (Note that this compares with 5% est. sequential growth for STMicroelectronics in Q3) bo Our preliminary analysis suggests that increased financial income will leave earnings relatively unchanged at around $0.40 per share o Crucially, Intel said it will not be lowering its $6bn capex plans this year - we see this as a sign that the company, an industry bellwether, is still confident about the semiconductor cycle o The company blamed European sales - other regions were on track o No details were provided, however the 10% fall since June in the Euro relative to the Dollar will have contributed. The company also indicated that PC units were weak o However we have not seen profit warnings from the major PC OEMs, so this may be Intel specific. Advanced Micro (AMD; $23.50; C-2-1-9), its smaller competitor has been benefitting from Intel's capacity constraints.