), saying it remains cautious about the semiconductor wafer manufacturerng's fundamentals despite expected benefits from chip giant Intel's $7.5 billion spending plan for 2001.
Analyst John Pitzer said he is still cautious on fundamentals of Novellus and has not bought into Intel's optimism. He sees a 40% order decline from December to September, which should represent a "trough." Pitzer cut his 2001 earnings per share estimate to $1.60, from $1.80, to reflect the difficult overall environment and also factored in SAB 101 and the GaSonics acquisition. Pitzer cut his target to $50, from $55.
Novellus stock was gained 6-1/8, to 44 7/8.