Analyst Jonathan Joseph says the company could post a modest seasonal decline in second quarter revenues, in line with its five-year average, which is a decline of about 3% quarter over quarter. He thinks the second quarter will likely be impacted by a bookings correction as Pentium 4 comes off allocation, and because of flat second quarter prices -- due to price cuts in April in May.
Joseph cut the $6.9 billion second quarter revenue estimate to $6.7 billion, and trimmed the $0.16 earnings per share estimate to $0.14. He also cut the $0.72 2002 EPS estimate to $0.70, and cut the $1.50 2003 estimate to $1.30. Joseph has a $45 target. He maintains his buy rating.