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

To: Donald Wennerstrom who wrote (31454)	7/13/2006 3:00:16 PM
From: Donald Wennerstrom	Respond to of 95648

Semis: Breakdown, Bounce, Befuddle and Repeat Thursday Jul 13 2006 14:44:03 EDT Ridgeland, MS, JUL 13, 2006 (EventX/Knobias.com via COMTEX) -- Tech lovers looking for "The Big Bounce" had their hats handed to them this morning. The Philadelphia Semiconductor Index (SOX -0.6%) bounced to a 1.5% mid-session gain and erased it all over the next hour. The bulls, if there are any left, will take solace in the fact that the SOX (414.56 -2.43) remains above its morning (and 2-year) low of 410.48. Volatility is growing. This is the second sharp chip rally in 48 hours. On Tuesday, KLAC sparked a short-lived 3% rally in semis on a surprising 30% sequential growth in orders. At least two analysts were supportive of chipmakers at this level before the market opened. Caris & Co. recommended ALTR, BRCM, EXAR, ISIL, MRVL, NETL, & NSM after their checks indicated strong demand in the communications & industrial segments. "Entering Q3, book to bill appears to be robust according to one large distributor, with the 90 day backlog at material levels."CIBC said valuations in the chip equipment sector may already be near their trough, but risk remains. CIBC calls Applied Materials (AMAT +1%) their best long idea with $1.50+ in estimated EPS within reach. Calls stock mispriced at 13x P/E.+ INTC (+0.6%): Intel announced it would lay off 1,000 managerial workers to trim costs. (--) CREE (-23%): WARNS it sees Q4 Earnings Below Prior Range of 22c-24c/Shr(-) SNDK (-4.2%), FLSH (-2%): Shares of the flash memory device makers were lower despite reiterated buy ratings from Smith Barney.