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

To: Joey Smith who wrote (65066)	9/18/1998 11:39:00 AM
From: gnuman	Respond to of 186894

Joey Smith, re: <You forget about pricing. Intel controls pricing much to the dismay of AMD/Cyrix shareholders.> That's almost like saying that Intel created the segment-0 market. Look's to me like the makers are starting to gain control of pricing. And I think they're doing this through AMD/CYRIX leverage, much to the dismay of Intel. Do you really think that Intel would invoke these ever more frequent price reductions and lower CPU intro prices if it weren't for viable x86 competition? I find it interesting that Intel is projecting an 8% growth in Q3 revenues but declines to discuss earnings. For Qtr/Qtr earnings to grow from $0.66 to the $0.80 consensus will require more than an 8% revenue growth, especially considering the reported increase in expenses. I'm hoping that much of the increase in revenues is predominantly from Xeon, which could more than compensate for the decline in CPU ASP's. Also unknown to me is the magnitude of I740 revenues, which could also impact revenues/earnings. I still don't think Intel will meet the consensus estimate. And I also think AMD will beat the consensus estimate. At any rate, I don't think Intel has historical control of pricing. Q3 Semi results will be very interesting. Just my opinions, of course.