Hoefer & Arnett Downgrades Recommendation on Seagate (STX) From Hold to Sell
21 Luglio 2004 - 3:51PM
PR Newswire (US)
Hoefer & Arnett Downgrades Recommendation on Seagate (STX) From
Hold to Sell SAN FRANCISCO, July 21 /PRNewswire/ -- Hoefer and
Arnett Technology Analyst, Mark Miller, has downgraded Seagate from
a hold to a sell. While we see seasonal factors and new products
lifting Seagate's share and margins, we believe intense competition
in the desktop, mobile and enterprise markets will continue well
into next fiscal year. As such, we believe Seagate's gross margins
will fall from its historic range of 24% to 26% to 18% to 20% in
fiscal 2005. Using these margins in our model only provides a net
income of $222.7 million or $0.48 per share for Seagate in fiscal
2005. Based on the historic PE range of 13 to 15, it appears
Seagate is significantly over valued at its current price. Hoefer
& Arnett Incorporated is a member of the National Association
of Securities Dealers, CRD number 10883. DATASOURCE: Hoefer &
Arnett Inc. CONTACT: Mark Miller, Analyst, +1-415-362-7111, or , or
Sharlena Bolden, Research Coordinator, +1-415-362-7111, or , both
of Hoefer and Arnett Web site: http://www.hoeferarnett.com/
Copyright