30-Jul-03 AG Edwards Downgrades from: Hold to: Sell (closing price was 18.72 that day!)
16-Dec-03 AG Edwards Upgrades from: Sell to: Hold (closed at 20.68 after shares were diluted by almost 20%!!)
PS- how do "hold" the shares after you've "sold" them? Don't you have to go thru a "buy" phase first? What a bunch of idiots these analysts are!
I am curious as to why you think Brooks software business is in good shape? I have heard of no new MES business since...when? Surely they need the MES biz to leverage other product sales?
Where are the new products? How many staff do they still have? I have heard that there have been continual layoffs from the software group since the end of last year?
Anyone else hear anything do confirm or deny this?
There is excess capacity out there based on Intel's report.
I would not bet on additional (general) capital spending in technology or an increase in spending for semi manufacturing equipment.
I would not be surprised if brks is below 20 within this month.
Why invest in Brooks Automation?
Certainly, not because of their performance in the last 3 years, which has been truly awful. But, they managed to keep a clean balance sheet. Hopefully, there will be a pickup in semiconducting manufacturing need for Cyclical Capital Goods, which will result a pickup in business before they run out of cash. Therefore, the jury is still out, makes the stock very speculative and volative (ranges between 22 - 27). Purchase below 23 based on present techical considerations would be advised. Brooks Automation is the market leader in semiconductor factory automation, a little patience might be well awarded. So I don't quite understand your comment about new products, since the whole issue is the semiconductor industry is not spending money for new factories. Nobody is making any money in this niche! But, that will hopefully change soon, as manufacturing picks up! Then, Brooks Automation's prospects should improve and the year to year numbers.
Otherwise, you can try chasing the latest news (Juniper, Ciena, Lucent and Nortel), in hopes that you can make a couple bucks before profit taking occurs. It is always tough to anticipate the market(crystal ball, please!)
It does not matter. What matters is new products and market share gain, along with profitability. Brooks is a loser on all scores.
Why else would a company that calls themselves a 'global leader' only grow 15%, in 2004 when the market will grow 40 - 200%?
Any ideas? Any reason to invest in this firm?
The real question is: what is CSFB modeling the industry growth rate to be? and then compare what they model BRKS as doing in '04.
From what I am hearing (not on this message board) BRKS seems to be in pretty good shape from a competitve standpoint - their OEM biz and software are market leaders, and factory automation does okay. Revenue is about 50% better than ASYT. Seems they have gotten religion on getting profitable, too. It remains to be seen how much leverage they can get from their operating model during this upturn, but could be surprisingly good.
No...just seems a bit odd they they are off the overall equipment market growth pace of 40%
When will they start turning a profit?
(I know, you are probably thinking: "...you just don't get it - this is an e model company.")
and a longer article here:
FWIW, CSFB is modeling BRKS revenue growth to be about 15% next year, followed by 30% in 2005. If VLSI Research is right that the equipment market will grow 40% next year, imagine what that will do for estimates.