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

To: Jacob Snyder who wrote (43339)	2/10/2009 7:40:58 PM
From: Jacob Snyder	1 Recommendation Read Replies (1) \| Respond to of 95525

comments on AMAT 1FQ09 results: Sales 1.33B$, so TTM sales declined to 7.36B. For comparison, sales troughed at 1.00B in 1FQ02. Today's P/S ratio is $9.69 X 1.33B shares/7.36B$ = 1.8. Gross Margin 29%, far below their 45% norm. GAAP EPS loss 0.10, worse than the 4FQ01 loss of 0.05, and their worst quarterly loss in a decade. Impressive, that they managed to stay positive for operating income in Silicon, Services, and Display. Only the Energy segment had an operating loss. "weak margins of initial SunFab designs" was the reason given. New orders 903M$. Uggh. 321M of new orders were for the Energy Segment, which is larger than new orders for their Silicon(246M), Services(310), or Display(26) Segments. I don't think that's happened before. New orders for the Energy Segment were down from last quarter, but up from a year ago. YOY increases in business prospects are vanishingly rare today. Shares total unchanged at 1.33B, from last quarter. Applied bought back a lot of shares during 2005-2007. Share repurchases were suspended in November 2008. (Rant begin. Why is it, that every company buys back lots of shares at high prices, and then suspends stock repurchases after their stock plunges? At least they aren't issuing new shares (like GE). And, at least they didn't do what LLTC did: borrow lots of money in 2007, to buy back lots of shares, saddling them with a LT debt of $6.77/share. Rant end.) Worldwide semi capital-equip spending, as a % of revenues: 21% in 2007, 15.6% in 2008. 2Q09 guidance: more than 30% QOQ revenue decline. (1.33B X 0.7 = 1B$). At least they gave guidance. Listening to this quarter's conference calls, I'm getting used to hearing, "no visibility, no guidance."