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Technology Stocks : Western Digital (WDC) -- Ignore unavailable to you. Want to Upgrade?

To: Sarmad Y. Hermiz who wrote (10965)	12/1/2004 8:39:12 AM
From: Sam Citron	Respond to of 11057

UPDATE 2-Western Digital raises 2nd-qtr revenue forecast Tue Nov 30, 2004 06:34 PM ET (Adds additional details from filing, after-hours stock move) SAN FRANCISCO, Nov 30 (Reuters) - Computer hard-disk drive maker Western Digital Corp. (WDC.N: Quote, Profile, Research) on Tuesday raised its revenue forecast for the current quarter, citing better-than-expected sales to personal computer makers and sending shares higher by nearly 5 percent. The company said in a regulatory filing that it now expects revenue for its fiscal second quarter ended Dec. 31 of $885 million to $915 million and earnings per share of 17 cents to 19 cents. When it reported first-quarter results in October, the company said it expected revenue of $830 million to $865 million and it did not provide a per-share earnings forecast. According to Reuters Estimates, analysts expect a profit, on average, of 15 cents a share, in the second quarter, within a range of 14 cents to 16 cents, on revenue of $849.1 million. In a filing with the U.S. Securities and Exchange Commission ahead of a meeting with an investment conference scheduled for Wednesday, Western digital said its unit volumes shipped to PC makers have been better than expected and that its product mix met expectations. Lakeforest, California-based Western Digital said weeks of inventory in distribution channels are currently at about five weeks for both the company and the industry, with total inventories slightly lower than when the quarter began. Inventory levels at hard-disk drive makers are closely watched by investors and analysts, as imbalances can cause a glut of oversupply, leading to dramatic price cuts by Western Digital and others to maintain market share. Western Digital also said that its gross margin, or percentage of revenue left after subtracting product costs, will be about 14 percent and operating expenses will be about $87 million in the December quarter. "As is typical historically, pricing dynamics for the month of December will determine the company's financial performance for the December quarter," the company said in the filing. That is due to the holiday-sales-fueled fourth calendar quarter, typically the strongest of the year for the technology industry. Shares of Western Digital rose to $10.25 on INET in after-hours trade. On the New York Stock Exchange, the stock gained 38 cents, or 4.1 percent, to close at $9.77. yahoo.reuters.com

To: Sarmad Y. Hermiz who wrote (10965)	12/1/2004 8:47:05 AM
From: Sam Citron	Respond to of 11057

Looks like we're not invited to WDC's presentation this afternoon in Phoenix. phx.corporate-ir.net csfb.com

To: Sarmad Y. Hermiz who wrote (10965)	12/1/2004 9:14:54 AM
From: Sam Citron	Respond to of 11057

I expect we open strong about 10.50, climb quickly to 10.70 then fade midday as we retest 10 level. Too bad I haven't yet held my shares a full year yet and this is the last month of the tax year. Otherwise I'd take some profits here and reload later in the day. Will probably stick with OTM CCs for that reason. The 10s are still considered OTM today for favorable tax treatment I believe. Message 20804853 Sam