Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Proud_Infidel who wrote (15978)	9/16/2005 11:51:16 PM
From: etchmeister	Read Replies (1) \| Respond to of 25522

The bears at Semico Research Corp. have suddenly turned into bulls, why suddenly - you're better off following the SNDK board as it seems the "experts" are just reacting to the events; "memory next leg down scenario" is becoming more and more less likely - where does this leave CSFB, Merrill and BofA - ? do you believe AAPL's decision moving to flash occurred over night? To: Pam who wrote (29027) 9/16/2005 10:05:58 AM From: Charlie Smith Read Replies (1) of 29045 The bears were out in full force in June... online.wsj.com SanDisk's Pricing Strength Not Likely Sustainable 06.06.05, 1:52 PM ET forbes.com Merrill Lynch downgraded SanDisk (nasdaq: SNDK - news - people ) to "neutral" from "buy" amid pricing concerns in the NAND flash memory market. "Our updated global industry model suggests that supply could exceed demand by the third quarter this year, which could lead to a sharper-than-expected price decline," said Merrill Lynch. "We now expect average NAND component pricing to decline by close to 50% for the remainder of 2005. Industry pricing could come down by 20% to 25% quarter-over-quarter in both the third quarter and fourth quarter. . .Given the elevated risks of supply-demand imbalance in the second half of the year, we think it is prudent to take a more conservative stance." The research firm lowered its 2005 and 2006 earnings-per-share estimates to $1.40 and $1.60, respectively, from $1.50 and $1.80. "We advise investors to take advantage of the recent pricing strength, as we don't think such strength is sustainable," said Merrill Lynch. "At $26, the stock looks reasonably valued at 19 times our revised 2005 estimated earnings, and is trading at about 10% below our mid-cycle fair value." Upgrades coming fast and furious now. The stock is up 82% since June 7. Reminds me of the joke about the world's smartest man and the backpack.