Investopedia: Applied Materials Still Digging For Bottom

Right up there with "it's different this time" in the lexicon of dangerous Wall Street sayings, is "how much worse can it get?" When it comes to Applied Materials (Nasdaq:AMAT) and its solar and flat panel businesses, apparently the answer is "a whole lot worse." Although recovery in semiconductors is arguably in sight, it seems likely that analysts and institutional investors are going to be more interested in names like KLA-Tencor (Nasdaq:KLAC), Novellus Systems (Nasdaq:NVLS) and ASML (Nasdaq:ASML), until Applied Materials proves convincingly that it can pull out of this nose-dive.

A Sour End to a Tough Year  

Not so long ago, I publicly wondered as to whether Applied Material's forward guidance was one of those kitchen sink situations, where management just wanted to get all of the negativity out of the way. Apparently, the answer is "no," as the fourth quarter was not very strong, and the company's forward guidance was not encouraging.

To read more, follow this link:
http://stocks.investopedia.com/stock-analysis/2011/Applied-Materials-Still-Digging-For-Bottom-AMAT-KLAC-NVLS-ASML-MU-AUO-STP-LPL1121.aspx