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 (16583)	11/16/2005 9:15:51 PM
From: Proud_Infidel	Respond to of 25522

To: Donald Wennerstrom who wrote (26934) 11/16/2005 6:00:43 PM From: Donald Wennerstrom Read Replies (1) of 26940 DJ Applied Materials:'06 To Be Growth Yr For Equip Spending 16 Nov 17:39 By Donna Fuscaldo Of DOW JONES NEWSWIRES Applied Materials Inc. (AMAT) Chief Executive Michael Splinter said Wednesday that 2006 will be a growth year for chip equipment. Speaking during a conference call to discuss fiscal fourth-quarter earnings with Wall Street, Splinter said demand for cell phones, notebook computers, flat-panel displays and game consoles will continue to fuel growth in chip equipment. Applied Materials Chief Financial Officer Nancy Handel noted that flat-panel sales set a record in the company's fourth quarter. According to the executive, utilization rates at fabrication plants are strong and inventory is lean. Splinter estimated that spending on wafer equipment in 2006 will grow 20%, while the memory market will also invest in equipment through 2006, with spending flat to up "modestly." Splinter noted that Applied Materials expects to "outgrow" and "outperform" the market and will focus on improving margins during next year. For its fiscal first quarter, Applied Materials is targeting order growth of 7% to 10% from the fourth quarter. Revenue is expected to grow 3% to 5% sequentially, while earnings are expected to come in between 14 cents and 15 cents a share. Analysts, according to Thomson First Call, have Applied Materials weighing in with earnings of 17 cents a share and revenue of $1.72 billion in the first quarter. For its fiscal fourth quarter, the Santa Clara, Calif.-based chip-equipment maker posted net income of $246.7 million, or 15 cents a share, compared with $455 million, or 27 cents a share, a year ago. Revenue came in at $1.72 billion, down 22% from $2.2 billion a year earlier. In after-hours action, shares of Applied Materials slipped to $17.30, according to iNet ECN. The stock finished the regular trading session at $17.77, up 3 cents.>>