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

To: Diamond Jim who wrote (76810)	3/19/1999 3:56:00 PM
From: Tony Viola	Respond to of 186894

Jim, re: "So how about IBM, did they warn or something? Down 9 right now." From Briefing: ====================================================================== IBM (IBM) 170 13/16 -6 13/16 Big blue singing the blues once again, as Morgan Stanley Dean Witter cut its price target from 210 to 195 amid concerns that revenues in the current quarter won't meet estimates... Also notes that competitive pricing climate in the mainframe business could pressure margins... Stock back below its 50-day moving average... Given anxiety over earnings and deteriorating technical tone, little question that computer giant will go back and test support in the 164-162 area over the near-term... If this floor should falter, stock would be positioned for test of the 150-148 range (bottom represents current 200-day moving average)... Briefing.com has repeatedly warned that IBM had run ahead of its fundamentals and that sluggish revenues would eventually catch up to stock... Increased dependancy on services revenues also problematic in that margins lower than in hardware segment... IBM projected to earn $1.42 this quarter and $7.52 in FY99 (22.7x)... Estimated 5-yr growth rate is 11.7%... Note that of the 23 analysts surveyed by Zack's, 13 rate the stock a strong buy, 6 a moderate buy and only 4 a hold... Should tone sour, plenty of room for ratings/earnings downgrades. ======================================================================