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 : FDC : First Data Corp -- Ignore unavailable to you. Want to Upgrade?

To: Dale Stempson who wrote (112)	10/23/1997 12:18:00 PM
From: Thomas C. White	Read Replies (1) \| Respond to of 323

Well, I'm surprised. FDC reported some near term softness in revenue and earnings in merchant processing, merchant processing revs up only 7 percent vs 13 percent in June. Goldman Sachs revised 1997 estimates down from 1.58 to 1.52, reflecting downward revision of upcoming Dec Q from .52 to .48. Goldman is indicating that next 2 or 3 quarters may exhibit some softness which doesn't justify the high P/E for the stock right now. Also still some margin problems in non-core business. Overall EPS growth rate may be in mid teens as opposed to previous investor expectations of 18 - 20 percent. The .42 "making" of estimates included a one time gain of .02 so the operating number is .40, below estimates. It's now 33 percent off its recent high. Big dip for a big cap.