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

To: sixty2nds who wrote (29037)	3/3/2006 4:40:56 PM
From: sixty2nds	Respond to of 95761

08:48 ET Novellus Systems (NVLS): 27.42: The Philadelphia Semiconductor Index has been making a run recently, sparked by numerous factors from a jump in shares of Cisco (CSCO), to continued strength in Broadcom (BRCM), along with technical indicators. Capacity expansion by the semiconductor manufacturers is the fundamental factor generating interest in stocks up and down the entire food chain. The semi equipment companies are in the midst of an cycle upturn, which Novellus underscored with its mid-quarter update after Thursday's close. The semiconductor equipment maker gave no indication of any "chinks in the armor" so to speak even raising the booking guidance to the high-end of the range. It forecasts $400-$420 mln vs. its previous guidance of $385-$420 mln indicating sequential growth of 14-20%. Demand for consumer ICs, NAND flash, and DRAM, particularly out of Asia, is driving growth. Novellus is benefiting from a ramp in spending by Hynix, a Korean DRAM manufacturer. Forecasts for revenues, margins, and earnings were all left unchanged. We continue to recommend investors have exposure to the semi equipment industry, favoring Applied Materials (AMAT), which are capitalizing on the cyclical upturn, not to mention semi equipment sector is a classic late-cycle industry. --Kimberly DuBord, Briefing.com