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Technology Stocks : Semi-Equips - Buy when BLOOD is running in the streets! -- Ignore unavailable to you. Want to Upgrade?

To: Math Junkie who wrote (7343)	11/21/1998 12:45:00 AM
From: A. Edwards	Respond to of 10921

San Jose, California, Nov. 20 (Bloomberg) -- Novellus Systems Inc. shares rose as much as 5 percent, leading a rise in chip-equipment stocks after an industry report showed orders for their products may be rebounding from a year-long slump. The shares of San Jose, California-based Novellus rose 1 5/16 to 50 1/16 in early afternoon trading, and earlier touched 51 1/4, the highest in 13 months. Applied Materials Inc., the No. 1 maker of semiconductor tools, rose 13/16 to 38 13/16, while Lam Research Corp. rose 3/8 to 16 13/16. Orders for U.S.-made equipment to manufacture and inspect chips rose 31 percent in October to $618.5 million from $472 million in September, according to Semiconductor Equipment and Materials International, a trade association. That means the industry may be on the road to recovery after a steep decline that saw orders plunge 61 percent since last October. The report ''supports my view that we're bouncing off the bottom,'' said Donaldson Lufkin & Jenrette Securities Corp. analyst Robert Maire. Stock in Silicon Valley Group Inc. rose 1/8 to 12 3/4 while shares of KLA-Tencor Corp. rose 15/32 to 36 27/32. Chip-equipment orders had fallen as semiconductor companies halted plans to build new plants or upgrade old equipment. Though some of those companies now are reporting better-than-expected demand for microprocessors, analysts say it's still unclear whether that's going to last long enough to result in more orders for chipmaking tools. Also, Maire said October's jump in orders probably was inflated by an order for Applied Materials chip equipment, which the company said exceeded $100 million. Maire estimated its value at $175 million.