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

To: Donald Wennerstrom who wrote (43133)	1/30/2009 1:07:45 PM
From: Donald Wennerstrom	Respond to of 95541

Here is another reason KLAC is up about 8 percent today at this point in time. <<2009-01-30 08:23 S&P REITERATES BUY RECOMMENDATION ON SHARES OF KLA-TENCOR Before one-time charges, Dec-Q operating loss of $0.12 vs $0.75 EPS is wider than our $0.03 loss estimate. Sales fell 26% from Sep-Q on lower foundry and memory spending. With 92% of orders from the logic segment, we see orders near a trough. We see KLAC sustaining sales better than peers, as it has minimal memory and foundry exposure left. We are encouraged by its intent to reduce quarterly cash breakeven to $300M-$325M. We lower our FY 09 (Jun) estimate by $0.58 to $0.31 loss and FY 10's EPS by $0.55 to $0.05 EPS. We keep our target price of $25, on an above-peer price/sale.>>

To: Donald Wennerstrom who wrote (43133)	1/30/2009 1:50:16 PM
From: The Ox	Read Replies (1) \| Respond to of 95541

Don, I think the Analyst is saying that the current quarter, 3QFY09 is where the revenues will bottom, not "may have bottomed". This is from marketwatch: The firm said despite KLAC's weak outlook, its better-than-expected revenue indicates a bottom and there's less risk of a downside to revenue estimates for KLAC than for chip-equipment peers. The supplier of process-control and yield-managment products can reduce costs to get operating profits at current levels, while peers will have to grow just to break even, BofA-Merrill said.