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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: williet who wrote (41459)	12/4/1997 8:31:00 PM
From: John Hull	Read Replies (4) \| Respond to of 186894

Mary, Williet, others: Yes, I'm out here. Yes, I've read through the posts initiated by Mary on this subject of Intel's need to "manage" Wall Street. in our defense... A. We do try. We have several IR managers that canvass the globe talking to institutional money managers and individual stockholders in the effort to communicate our view of our prospects as fairly as we can. Most other companies haven't put in resources like this. B. We have responded to the "Wall Street Analysts" like TK from time to time, but have found it to have mixed results. You should know, Intel is the most analyzed stock in America (and probably the world). It is also one of the most actively traded stocks in the US markets. There are more reports written about Intel, and by association, more opinions uttered than there is for any other publically traded stock. And "opinions" are usually just what they are. I can dispute facts, but there's not much I can do to argue with TK when he says he believes PC sales in '98 will be better/worse/different than his previous opinion. Give TK some credit for what he does very well - generate interesting opinions that are hard for companies to directly dispute with any kind of publically available facts. I've never seen anyone analyse his long-term track record of calls on Intel. If there's analysis out there that shows that strict adherence to TK short-term buy/sell recommendations (you know he uses both long and short-term ratings at the same time) has outperformed a strict buy and hold strategy over the last ten years, I'd love to see it. C. Don't get me wrong, I am sensitive to your concerns here. We try to clear up misrepresentations where we can and I agree that we could and are trying to do a lot more. D. We probably give some of the most specific quarterly guidance of any technology company. At times I wonder if this just gives analysts more details that they can dispute in order to create "news" to use in writing a call note. Our institutional holders tell us that they appreciate our efforts to be so specific and think its worth the effort - so we continue. E. Our long run record is a very good one. We manage for this. While the company has employees that try to stamp down rumors where possible, its probably not something you want the senior guys to spend all their time doing (its literally a full time job for some staffers). I'm afraid in Intel's case, the supply of rumors/opinions far outstrips our capacity to tackle every one. F. Lastly, in the final analysis, it is earnings and their growth that drive stock prices, not Wall Street analyst opinions. Don't let the short-term stuff drive you crazy - if it does, then technology stock investing might not be for you. I appreciate your willingness to share your opinions with us/me. Please keep it up. Regards, John Hull Intel Corp.