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

To: GVTucker who wrote (180996)	5/6/2005 9:40:50 AM
From: Proud_Infidel	Respond to of 186894

Intel Not Likely To Improve Gross Margin In 2006 05.06.05, 9:25 AM ET Piper Jaffray said it was "mildly positive" on the Thursday Intel (nasdaq: INTC - news - people ) analyst meeting, although it lacked "any major announcements or declarations." Piper Jaffray said, "We believe that Intel is trying to make the claim that the PC market can grow faster than the 6% to 7% year over year that many analysts (including us) are projecting in 2006. We are not disclaiming Intel's focus, but our hesitancy hinges on the purchasing power of citizens in [developing] countries to afford a PC at current prices." The research firm, which rates Intel at "outperform" with a $30 price target, said the key message from Chief Financial Officer Andy Bryant was that accelerating investments in new processes are more cost effective than not. However, Piper Jaffray noted that "given our concerns about the prices that dual cores will command in the market and the resultant impact on margins, we do not see an opportunity for material gross margin improvement during 2006."