Feeds

Markets: Intel gets financial analysts vote

Our round-up of world markets

  • alert
  • submit to reddit

The essential guide to IT transformation

American financial analysts are raising their earnings estimates for Intel's third quarter to 79 to 80 cent/share because of what they believe is growing PC demand. With Xeon processors becoming available in the fourth quarter, the new prediction is for earnings around $3.14 for the year. It seems that Wall Street does not throw straw in the air and watch to see which way it blows. Instead, they look to DRAM - production-free New Zealand, the traditional dumping ground for South Korean surpluses. It seems that memory prices have been going up considerably-but the analysts could be misjudging the signals. The NZ economy is in bad shape because Auckland was closed for many weeks on account of power failures, so supply patterns are abnormal. CMP Media, the IT publisher, forecast a gloomy third quarter, with anticipated profits of one to two cents/share on revenue of $116 to £120 million, compared with analysts estimates of 21 cents. Its shares closed at 10 5/8, down 31 per cent. The reason given is that thin margins on PCs results in less advertising. IBM is recovering its position as a bellwether. Paine Webber and JP Morgan rated it as a buy. The reason? Consistency in earnings, large market capitalisation, and a good valuation. IBM has been notching up gains when all around were panicking. Analysts like IBM's share repurchase programme, which is expected to keep its stock price climbing. Hitachi now expects to lose $1.67 billion in the FY ending 31 March 1999 -- its first loss since the second world war. It seems that it is not just the DRAM and LSI businesses that are problematical-most of its other electronic and PC businesses are down too. Staff attrition and redeployment, together with a freeze on investment, are the basis of Hitachi's plans for recovery. Dialog, acquired by MAID in November from Knight Ridder for $421.6 million in a highly-geared move, produced a poor result for the half and saw its shares fall 13 per cent on the London market. Psion shares went up 9.2 per cent, attributed in part to a rebound and in part to better medium term prospects and fair results for its first half. ®

Boost IT visibility and business value

More from The Register

next story
6 Obvious Reasons Why Facebook Will Ban This Article (Thank God)
Clampdown on clickbait ... and El Reg is OK with this
No, thank you. I will not code for the Caliphate
Some assignments, even the Bongster decline must
Fast And Furious 6 cammer thrown in slammer for nearly three years
Man jailed for dodgy cinema recording of Hollywood movie
Caught red-handed: UK cops, PCSOs, specials behaving badly… on social media
No Mr Fuzz, don't ask a crime victim to be your pal on Facebook
Barnes & Noble: Swallow a Samsung Nook tablet, please ... pretty please
Novelslab finally on sale with ($199 - $20) price tag
Ballmer leaves Microsoft board to spend more time with his b-balls
From Clippy to Clippers: Hi, I see you're running an NBA team now ...
Video of US journalist 'beheading' pulled from social media
Yanked footage featured British-accented attacker and US journo James Foley
Assange™: Hey world, I'M STILL HERE, ignore that Snowden guy
Press conference: ME ME ME ME ME ME ME (cont'd pg 94)
Call of Duty daddy considers launching own movie studio
Activision Blizzard might like quality control of a CoD film
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Endpoint data privacy in the cloud is easier than you think
Innovations in encryption and storage resolve issues of data privacy and key requirements for companies to look for in a solution.
Scale data protection with your virtual environment
To scale at the rate of virtualization growth, data protection solutions need to adopt new capabilities and simplify current features.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?