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

To: Barry A. Watzman who wrote (42127)	12/13/1997 12:20:00 AM
From: Gary105	Read Replies (1) \| Respond to of 186894

Barry, agree that its very difficult to envision intc in the 40s ........ but not impossible. The scenario that would precipitate it would be the following: 1. Earnings slightly below target for upcoming Q (they would have egg on their face if they miss by too much given Oct analyst conf). 2. Statement that major portion of market has shifted to low end chips and that this is a new reality, that Asia will continue weak in the forseeable future and that 50% GMs that Intc has warned about will most likely happen in Q1. 3. The above results in downward earnings estimates of $3 for '98. 4. Intc drops to $48 or forward looking p/e of 16 based on new estimates. Not likely but not impossible. If there were not a gap in that region I would not bring it up. Disclaimer: The above is purely speculation and should be taken with the proverbial grain of low sodium salt. Gary