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

To: Donald Wennerstrom who wrote (50854)	1/19/2011 11:04:43 AM
From: Donald Wennerstrom	2 Recommendations Read Replies (1) \| Respond to of 95467

Jan 19, 2011 9:44 AM ASML Slips Despite Q4 Beat; Piper Says Buy Posted by Tiernan Ray Shares of chip equipment maker ASML Holding N.V. (ASML) are down 94 cents, or 2.3%, at $39.16 despite reporting Q4 revenue and earnings above estimates, forecasting the current quarter’s revenue above estimates, and said it would buy back up to €1 billion of its shares. Q4 revenue was up 161%, year over year, and up 29% from Q3, at €1.52 billion, beating the average €1.3 billion estimate. EPS of €0.94 was 21 cents better than the €0.73 consensus. For the current quarter, the company forecast €1.4 billion, ahead of the average €1.36 billion estimate, and predicted gross profit margin would be fairly steady, at 45%. The company booked €2.32 billion, and ended the quarter with a record backlog of €3.9 billion, it said. Management said it will submit to a vote a declaration of a 40-Euro-cent-per-share dividend for 2010, a doubling of 2009’s dividend rate. The company also intends to purchase up to €1 billion of its shares over two years, it said. The move will be submitted to a vote on March 24th, at the annual shareholder meeting. In a note to clients this morning, Gus Richard with Piper Jaffray reiterated an Overweight rating on the shares and a $49 price target, emphasizing that ASML should gain share in sales of lithography tools as the next wave of capital spending commences. Intel (INTC) last week said that it would increase capital spending 75% this year, to $9 billion, and ASML has been a popular pick to benefit from that increased spending.