Markets & Finance

A.G. Edwards Expects to Cut August Tech Forecast


August Technology (AUGT) expects Q2 revenue to be about 7% below Q1 levels. A.G. Edwards expects to cut its estimates on August.

Analyst Chris Chaney told S&P MarketScope he is not surprised as August is probably the only semiconductor test firm so far that hasn't seen a huge impact on its revenues. He says he plans to cut his $0.32 2001 EPS estimate to $0.25-$0.30; he also plans to cut his $0.49 2002 EPS estimate. However, he thinks this shortfall is a "small hiccup," and that August is still a great small company. Chaney says the company's revenues could be up 20%-30% this year compared to industry revenues falling 30%-40%. He thinks stocks in the group will probably be dead for the next few months. The analyst sees August trading at $25 when the market snaps back. He rates the shares "buy."


Cash Is for Losers
LIMITED-TIME OFFER SUBSCRIBE NOW

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus