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

To: Shahen Petrosian who wrote (49802)	3/5/1998 7:46:00 PM
From: Maverick	Respond to of 186894

INTC misjudged Basic PC, estimates cut, downgrades * Late yesterday, INTEL CORP announced a brand name for its upcoming processor targeted to the low-cost PC market: "Celeron." Last month, Intel said that it would introduce a processor, using the same Intel P6 architecture on which the Pentium II processor is based, aimed at what Intel calls the "basic PC" market. Intel said the first Celeron chip will be announced in April, with systems available for purchase by mid-year. Intel has not had a big presence in the fast-growing low-cost arena, called the sub-$1,000 PC market by many industry analysts and personal computer makers. Intel said its Celeron processor is targeted at PCs costing between $800 to $1,200, which provide a base level of functionality with limited expandability. (Reuters 06:21 PM ET 03/04/98) For the full text story, see infobeat.com * INTEL CORP's unexpected warning that first quarter earnings will be below expectations is due to a combination of weaker PC demand, too much inventory and manufacturing changes at PC makers, analysts said laet yesterday. Some analysts also said that the explosion of interest in the sub-$1,000 PC may also finally be hurting Intel, because it had not yet addressed this market with a low-cost processor. Mark Edelstone, a Morgan Stanley analyst, said that Intel's earnings warning was a replay of the 1Q of 1996, when PC makers had a big buildup of inventory overhang that did not sell in the 4Q holiday shopping season. (Reuters 10:26 PM ET 03/04/98) For the full text story, see infobeat.com * Lehman said that analyst Michael Gumport cut INTEL CORP's 1Q estimate to $0.73 per share from $0.93. 1998 EPS cut to $3.30 from $3.85, 1999 EPS cut to $3.95 from $4.35. It maintains neutral rating on stock. Also, Deutsche Morgan Grenfell said it lowered its 1Q earnings estimate on shares of Intel to $0.69 per share from $0.89 per share but maintained its buy rating on the stock. Cuts 1998 estimate to $3.20 per share from $3.65 per share, cuts 1999 estimate to $4.15 per share from $4.50. (Reuters 08:53 AM ET 03/05/98) * Merrill Lynch said that analyst Thomas Kurlak had lowered his 1998 earnings estimate on INTEL CORP to $3 a share from a range of $3.50-$3.75. He set 1999 estimate at $3.30 a share. He estimates Intel will earn $0.67 a share in March quarter. He maintains near-term neutral, long-term buy ratings. Additionally, Morgan Stanley said it lowered its 1998 earnings estimate on shares of Intel to $3.25 from $4.00 per share. Rating kept at outperform. Also, CIBC Oppenheimer lowered its rating on Intel to hold, a market source said. Meanwhile, Bankers Trust Alex. Brown lowered its rating on shares of Intel to buy from strong buy. (Reuters 09:07 AM ET 03/05/98)