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Technology Stocks : Semi Equipment Analysis -- Ignore unavailable to you. Want to Upgrade?

To: pompsander who wrote (11902)	9/29/2003 1:15:41 PM
From: Donald Wennerstrom	Respond to of 95521

For the record, <<CSFB Offers Opposing Views on Novellus, Lam Research By Meredith Derby Staff Reporter 09/26/2003 10:03 AM EDT Credit Suisse First Boston cut its rating on Novellus (NVLS:Nasdaq - commentary - research), saying bookings could disappoint and in turn pressure the stock, but the firm was bullish on Lam Research (LRCX:Nasdaq - commentary - research) and raised that company's rating based on an expected continuation of positive order trends in the second half of the year. Analyst John Pitzer said that even though Novellus is well positioned to outgrow the industry in the long term, third-quarter and fourth-quarter bookings will be sluggish. As a result, he lowered his rating on the company to neutral from outperform and cut its target price to $35 from $45. "Geographic and customer exposure at Novellus [are] not favorable for the second half of 2003," Pitzer wrote in a research note. He said the company's third-quarter revenue, bookings and earnings guidance might be too optimistic. Additionally, order growth in the fourth quarter could be slower than the rest of the industry. Meanwhile, Pitzer raised his rating on shares of Lam Research to outperform from neutral, saying the company's first quarter has been in line with his revenue, bookings and earnings estimates. The analyst also raised the company's target price to $30 from $20. "We believe that relative customer exposure in the December quarter should allow Lam Research to grow bookings an additional 5% to 10% sequentially," the analyst said. Additionally, September bookings could have a modest upside and second-quarter bookings aren't dependent on any specific device types or companies. In the long term, Pitzer sees earnings becoming stronger and expects peak earnings for Lam of $1.20, compared with $1.26 in 2000.>> thestreet.com Don