Rebuttal to Bernstein's Stacy Rasgon's analysis which is pure trash
I suppose this young lady forgot to look at the numbers for TXN, ARMH and so on. For example, ARMH trades at a multiple of 51.2 Enterprise Value/EBITDA and TXN in excess of 10. If she thinks INTC is going to $18ps, then the other two are likely to sell for less than a dollar ps based on EBITDA ratios. The investor would be wise to check these comparative numbers before buying into the Bernstein's prognostications.
Micron Technology Revenue Rises on Higher Memory Shipments
By Ian King - Mar 21, 2013 1:15 PM PT
Micron Technology Inc. (MU), the largest U.S. maker of memory chips, said fiscal second-quarter revenue rose amid a rebound in chip shipments.
Sales rose 3.4 percent to $2.08 billion from $2.01 billion a year earlier, the Boise, Idaho-based company said in a statement today. Analysts on average estimated revenue of $1.91 billion, according to data compiled by Bloomberg.
Market prices for memory chips, which store information in computers and mobile devices, have surged this year as manufacturers such as Micron, Samsung Electronics Co. (005930) and SK Hynix Inc. (000660) have kept production steady. Micron, which today reported its seventh consecutive quarterly loss, plans to strengthen its position in the industry through the acquisition of Japan’s Elpida Memory Inc., scheduled to close in the first half.
It's a guy -
anyway the "finacial community" finally figured out that capital intensity is going up.
What they have not figured out yet is that ARM foundry capital intensity is going up even more because they under spent in the past (TSMC down 12% since ALTR deal was announced).
I really wonder what will happen to Glofo IPO - the oil people want to get out and I don't blame them.