To: Venkie who wrote (90804 ) 1/22/1999 10:49:00 AM From: Mohan Marette Read Replies (2) | Respond to of 176388
Did you say IBM disappointed,well looks like lots of analysts like IBM. Friday January 22, 10:26 am Eastern TimeRESEARCH ALERT - IBM price target raised NEW YORK, Jan 22 (Reuters) - Credit Suisse First Boston and Salomon Smith Barney on Friday both raised their targets on the shares of International Business Machines Corp. after the company reported better-than expected fourth quarter earnings. -- Morgan Stanley also raised its target, but analyst Thomas Kraemer cut his rating on the giant computer maker's shares to outperform from strong buy. -- Late on Thursday, IBM reported net earnings of $2.47 per diluted share, up from $2.11 a share, a year earlier. Wall Street analysts had forecast $2.45 a share, according to First Call. -- Sales grew 6 percent to $25.1 billion, which was on the lower side of analysts' estimates. Total hardware sales fell 2 percent to $11.3 billion, while services revenues rose to $7.1 billion and software sales grew to $4.1 billion.Mohan:Look at the price target from these guys. -- CSFB's Amit Chopra raised his 1999 earnings estimate to $7.50 a share from $7.42 a share, and set a target of $230, up from $185. He reitterated his buy rating. -- ''The quarter did make an important statement: software and services will drive IBM's business model,'' Chopra said. ''This model should generate a higher return on invested capital than its predecessor.''-- Salomon's John Jones raised his target to between $230 and $240 from $215. He maintained his earnings projections and buy rating. -- Morgan Stanley's Kraemer raised his price target to $210 from $181. No further details were available. -- Shares traded on Friday morning at 183-7/8, off 13-1/8. IBM topped the most active list for shares traded on the New York Stock Exchange.