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Strategies & Market Trends : Sharck Soup -- Ignore unavailable to you. Want to Upgrade?

To: $Mogul who wrote (28712)	6/20/2001 12:16:53 AM
From: Teri Garner	Respond to of 37746

No relief in sight for networking equipment: Bernstein By Susan Lerner, CBS.MarketWatch.com Last Update: 4:37 PM ET June 19, 2001 NEW YORK (CBS.MW) -- There were more words of doom for networking equipment stocks from the sell-side Tuesday as yet another analyst weighed in with a gloomy outlook for the sector. This time it was Sanford Bernstein analyst Paul Sagawa's turn to take a swipe at the group, telling clients there was no relief in sight and that he expects the deluge of earnings warnings to continue. Based on recent warnings from Nortel Networks, JDS Uniphase, Juniper Network, Nokia, and others, Sagawa now believes his forecast for an 11 percent decline in 2001 global telecommunications equipment sales may be optimistic. He has revised that projection to a 15 percent decline in 2001 and a further 6 percent fall for 2002. "We believe that most equipment vendors will be forced to pre-announce poorer than expected sales and losses this quarter and to acknowledge that conditions show no sign of improvement," said Sagawa. "In particular, we believe that Ericsson, Motorola and even Cisco are at risk of failing to achieve consensus expectations for this quarter and the rest of the year. cbs.marketwatch.com