Gist of it for Cymer fans is that she gives a target of $36, for 12 months?, and also that growth for '01 should be around 22% instead of the guided 35% to 40%
I distrust Needham, and I personally wouldn't invest or divest based on what they say. I did, however, take the shares I averaged down last week with and sold them today. The large block sells this morning, how AMAT and ESIO got creamed early on, and the negitive comments about Cymer's sector, made me take the money and run. I still have half of my investment with money waiting in the wings for the next down turn. Which brings up... "Where have you gone, BBC and Slim, Jesus holds a place for those that pray, hey, hey, hey..."
Don't trust this firm. Think about "UNFY", which was recommended by Needham. After I bought UNFY at 17, I sold at 8 within a month. The good thing is that I got out. Now it worth nothing. They usually downgrade the stock at bottom, upgrade the stock to strong buy at"peak". I really think do the other way is better.
Now we're getting close to my point. If actual growth turns out to be 22% and Cymer ramps for 22% growth, $36 is probably a conservative target. If actual growth turns out to be 22% while Cymer ramps for 35-40% growth, EPS will be much lower than expected and there will be much consternation here.
Once again, to own Cymer now is a wager on management's estimate of sales growth.