Last week, TEL (which is the Japanese equivalent to AMAT & LRCX) reported a June quarter which saw revenues drop to 236B Yen from March’s 261B Yen and saw earnings drop from March’s 47B Yen to June’s 41B Yen, a respective 9.3% decrease and a 12.8% decrease in earnings.
We don’t think this is attributable… Read More
ASML reported results in line and slightly ahead of expectations which helped push ASML and the other semicap stocks back to their original valuations prior to the two step pull back that lasted about a month. We are now back to relatively high, record valuations not seen or ever seen previously (at least for a long time) by many companies.… Read More
Back to a more normal reality… Market gets”De-Fanged”… Where to from here? The “Icarus” Effect… Much of the market, and especially Tech & “FANG” (Facebook, Amazon, Netflix & Google) stocks gave back most all of their post election day gains in one session.… Read More
Lam & Applied talked about “sustainable” growth Both expect share gains & growth in a flattish market. We examine the “new, lower, cyclicality”. Although Applied and Lam are fierce competitors , coming at things from different directions, they sounded awfully similar last week.
… Read More
Applied & Lam will be talking over the next 2 days, investors should/will focus on future growth, AMAT after display uptick & LRCX post the KLAM fail.
It’s no secret that most of the upside surprise in Applied’s recent reports were due to unusually large display orders from an industry even more cyclical than… Read More
ASML reported a quarter that was slightly below expectations coming in at Euro 1.815B in revenues and Euro 0.93 EPS. Orders were a bit soft at Euro 1.4B but well within the normal quarterly variation of a lumpy business. Euro 28M was lost in a currency adjustment associated with the Hermes acquisition.
The guidance for Q4 was between… Read More
As we had been suggesting the merger deal between KLAC and LRCX has failed. It obviously ran into too many complications, costs or other issues to continue. Unlike the Applied TEL deal which went on for a staggering 18 months before calling it quits in this case 12 months was enough to figure out it wasn’t getting done.
In our … Read More
The odds of deal completion has fallen to low levels. Whats the fallout on the companies and stocks? Is there life after a failed merger?
“A quagmire wrapped up inside an enigma” – LRCX & KLAC’s merger is the talk of the town, both in the semiconductor equipment industry as well as DOJ watchers in Washington… Read More
LRCX & KLAC’s merger continues to be closely watched given the recent turns and reversals we have seen which call into question the ability to get the deal done. The deal was announced in October of 2015 and we are on our second request from the DOJ and the deal will almost certainly go beyond the Oct 20th, one year deadline… Read More
Last quarter we said that AMAT got its mojo back and it appears to have even picked up speed going into the end of a strong year.
The display business which had been less than reliable in years past has come up with back to back home runs. Applied is growing both its top and bottom line at well above the sluggish market rates and is clearly… Read More