) to sector performer.
Analyst Dan Wewer says he upgraded from sector underperformer based on a significant improvement in gross margin, inventory turn, and operating return on assets. He says first-quarter earnings per share results were 2 cents better than consensus. He says balance sheet trends are excellent, capital efficiency continues to improve, and operating return on assets rose 74 basis points sequentially to 19.7%.
Wewer raised the 84 cents fiscal 2004 (Jan) earnings per share estimate to 86 cents, and upped the 95 cents fiscal 2005 estimate to 97 cents.