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Strategies & Market Trends : Electronic Contract Manufacture (ECM) Sector -- Ignore unavailable to you. Want to Upgrade?

To: patroller who wrote (1092)	1/9/1998 4:37:00 PM
From: Asymmetric	Read Replies (1) \| Respond to of 2542

Excerpt from today's Briefing.Com 14:35 ET ****** PRINTED CIRCUIT-BOARD MAKERS: An Adams, Harkness & Hill downgrade of printed circuit board/assemblies manufacturer Hadco Corp (HDCO 38 -6 5/32) has sent the shares reeling amid extremely heavy volume. Obviously, not helping matters is the sharp retreat of the major indices this afternoon. The firm's downgrade from "buy" to "market perform" does not necessarily indicate that it is bearish on HDCO's growth prospects. In fact, Adams Harkness views HDCO as the "best managed and best poised for growth" of any other firm in the group. Its concern arises from the company's visibility as the largest player in the industry. As such, the firm reasons that Hadco will be the first to feel the impact of weakening prices and will be one the first to be sold-off by the market. The downgrade is having a carryover effect on other players in the field. Even Sanmina (SANM 53 1/4 -4 3/4) is down sharply, despite Adams Harkness reiterating its "buy" rating on the shares. Other stocks feeling the fallout include, Jabil Circuit (JBIL 36 7/8 -3 1/8), Solectron (SLR 37 3/8 -3 1/8), Merix (MERX 13 3/8 -2 3/8) and Micrel (MCRL 27 1/8 -3 1/2). It should be noted that several firms, including Jabil and Solectron have recently stated that they are experiencing very little revenue backlash from the problems in Asia. But given the speed at which these markets are deteriorating and their currencies are falling, the indications from the companies provide little comfort over the long-term.