Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Markets & Finance

CS First Boston Reduces Nortel Outlook


CS First Boston cut the estimates and target price on shares of Nortel Networks (NT).

Analyst James Parmelee says management cited a more significant sales deterioration in the U.S. and weakness in select overseas markets. He adds that the new loss estimate reflects substantial pricing pressure in a business that had formerly grown at a rapid rate (i.e. optical). Parmelee notes the magnitude of price declines indicates the pace of recovery will be slower than formerly expected. He cut the $31.8 billion 2001 revenue estimate to $27.8 billion, and cut the $0.65 2001 EPS estimate to $0.20.

Parmelee also lowered the $36.6 billion 2002 revenue estimate to $32 billion, and the $0.85 2002 EPS estimate to $0.70. He cut the $40 target price to $25 and maintained his buy rating.


LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus