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Technology Stocks : Asyst Technologies (ASYT) Good Value/Where is the Bottom? -- Ignore unavailable to you. Want to Upgrade?

To: Ian@SI who wrote (1269)	3/1/1999 6:40:00 PM
From: Q.	Read Replies (1) \| Respond to of 2313

Salomon's analyst Milind Bedekar had good things to say in his report about the bigger players. He said that AMAT, KLAC, and ESIO have "unique product momentum and operational excellence to deliver earnings growth at or above consensus expectations." He just doesn't seem to think the same about ASYT and the other two smaller stocks. I wish I knew why. Here's the Reuter's story on his report: NEW YORK, March 1 (Reuters) - Shrugging off worries of slowing growth in personal computer sales, investors sent shares of the leading semiconductor equipment makers higher on Monday, bolstered by analysts who saw bargains in the sector after a recent slump. Shares of Applied Materials Inc. (NASDAQ:AMAT), the world's biggest chip equipment maker, rose 1-7/16 to 57-1/16, after earlier hitting a session high of 58-1/2. KLA-Tencor Inc. (NASDAQ:KLAC) rose 2 to 53-13/16, while Kulicke & Soffa Industries Inc (NASDAQ:KLIC) edged up 9/16 to 25-15/16. PC, semiconductor and semiconductor equipment makers have dipped over worries about slowing first quarter PC sales, a notion bolstered by recent warnings from giants Dell Computer Corp. (NASDAQ:DELL) and Compaq Computer Corp. (NYSE:CPQ). But analysts said that fundamentals in the equipment sector remain strong, and that prices may have tumbled too far. "Because peak semiconductor industry growth rates are at least three quarters away, the fear, uncertainty, and doubt surrounding recent concerns over PC demand presents a better-than-expected near-term opportunity to purchase quality equipment stocks," said Morgan Stanley analyst Jay Deahna. "With the semiconductor companies still running at below normal capacity additions ... the fundamental drivers to equipment buys are still solidly in place," Salomon Smith Barney analyst Milind Bedekar said in a research report. Applied Materials, in comments about its first quarter which ended in January, predicted that the chip equipment industry is recovering from its slump. In the report, which showed the company handily beat Wall Street estimates, said improved memory chip pricing, healthy demand for personal computers and a strong U.S. economy were the basis for optimism. Bedekar said Applied, KLA, and Electro Scientific Industries Inc. (NASDAQ:ESIO) are companies "with unique product momentum and operational excellence to deliver earnings growth at or above consensus expectations." He rated all three as buys. Shares of Electro-Scientific rose 2-11/16 to 39-1/4. Other chip equipment companies that rose on Monday included Lam Research Corp. (NASDAQ:LRCX), up 15/16 to 30-1/2; Novellus Systems Inc. (NASDAQ:NVLS), up 13/16 to 59-7/8; PRI Automation (NASDAQ:PRIA), up 13/16 to 30-13/16; and Teradyne Inc. (NYSE:TER), up 1-1/4 to 48-7/8. Chip makers were mixed on the day, with Intel Corp.(NASDAQ:INTC) down 2-14/16 to 117-1/16, and Texas Instruments Inc. (NYSE:TXN) up 3 to 92-3/16.