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Technology Stocks : Symantec (SYMC) - What does it look like? -- Ignore unavailable to you. Want to Upgrade?

To: W D J Moore who wrote (1891)	3/3/2003 11:01:05 AM
From: W D J Moore	Respond to of 2069

Symantec Unveiled, Again (SYMC) The Symantec debacle last Friday does not seem to have changed the positive outlook analyst's share on the stock. The real question is what happened to warrant such a dramatic decline in price anyway? The answer was provided on our In Play page during the ordeal. However, let's walk down the road to stock price perdition again so that we can better understand the nature of these events. Symantec had its analyst day on Friday to highlight and discuss the Company's performance to date. At these events, some companies also use it as a forum to discuss their financials and shed some light on guidance as well. Analysts and money managers who have a keen interest in how the company is performing within its respective market segments usually attend the analyst day. Participants at these events usually receive a packet of information, which serves as a guide during presentations. As everyone began to peruse their packets, the financial guidance section became the first place most people turned to even though it was going to be discussed in a presentation during the latter half of the event. Smart money managers who have significant positions in the company and are paid large salaries to stay ahead of the curve probably did double takes as they noticed inconsistencies with street consensus on bottom line projections for the upcoming fiscal year. In fact, the numbers suggested that SYMC might face near term pressure with guidance reflecting more of an emphasis on the latter half of the year in terms of bottom line growth. As opposed to waiting for the CFO to delineate the guidance provided in the financial portion of the analyst day, the institutional presence punched the speed dial on their cell phones and bailed out of the stock before any light could be shed on the situation. The end result was catastrophic to the stock and Symantec dropped 18% in one day. A Thinkequity analyst describes in his morning note two issues that contributed to the carnage in the stock during Friday's meeting. The potential back-end loading of guidance and a June quarter expense issue. However, none of these two issues were enough to warrant any previous misconceptions that the Company was in trouble. The word clarification comes to mind when we look at what happened. Now, hit the fast forward button to see what is going to happen today. The aftermath of Friday has resulted in everyone on the street either upgrading or defending the stock this morning. The stock should experience some buying on weakness given the market's overreaction on Friday. Nothing has changed in the fundamentals and the Company continues to be a significant player in the burgeoning security solutions markets. -- John Meza, Briefing.com