Drew Peck
Drew Peck
agreement believe emerge feeling guess issues question quite
I'm not only in agreement, I've been feeling for quite a while that these issues are going to emerge pretty soon. I guess the only question I have is, if everything that Kumar described is true, which frankly, I believe it is, then why does he still have a 'buy' on the stock?
consume explaining goes pcs softness
Intel's pre-announcement goes a long way to explaining softness in the DRAM market. PCs consume well over one-half of all DRAMs.
built graphics interested pcs people performance problem selling whose
Integrating graphics with the processor compromises performance of the graphics. The problem isn't that people aren't interested in the low-end PCs selling at $600, it's that people aren't interested in processors whose performance is compromised because the graphics is built in.
demand masked period problem shortage strong surplus time turn
But ironically, this is going to turn the shortage into a surplus in a very short period of time. This problem has also been masked by seasonal demand for processors, which is very strong at this time of the year.
bet company
If the K-7 doesn't sell, they have to get out of the processor business. They've really bet the company on the K-7.
believe commentary grim hang hat numbers rather themselves
The numbers themselves tell a pretty grim story, so if you're going to hang your hat on this, you have to believe the qualitative commentary rather than the quantitative information.
disaster good rally
It's not a disaster. But it's just not good enough to rally the stock.
business comments hinge
A lot is going to hinge on how much credibility there is in the comments ... that the microprocessor business has stabilized.
basically flat gross guidance surprise upside
They had an upside surprise in gross margins, but their guidance for 2002 is basically flat from here.
cents company earning expensive maybe stock upside
There's no more upside coming. So we're not going to see more than 65, maybe 70 cents out of this company for the whole year. This is a very expensive stock to be earning 65 or 70 cents.
bag beginning current feeling fire general industry last mixed nearly sector strong three
For the last three quarters, the whole industry has been on fire. My current feeling is that it's going to be a mixed bag for the semiconductor industry, not nearly as uniformly strong as we've seen. That is the beginning of a general deceleration in the industry, but that deceleration is going to be very sector specific.