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Contributors: Douglas McIntyre Jon C. Ogg

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Thursday, July 20, 2006

Widely Traded 48 Hour Clock


Apple (AAPL) is up 12.8% at $61.06 in pre-market trading. The guidance was lower than the street had predicted, but the street gave them a passing grade as the EPS report was $0.54 versus the $0.44 estimate. Apple has a history of being conservative with guidance so they do not disappoint the street, and that appears to be the case here.

Even shares of Yahoo! (YHOO) are trying to turn around this morning. It has signed a mobile web search pact with Motorola. YHOO is trading up 1.5% at $25.60, versus the California mudlide of a day that sent the shares home down over 20% to close at $25.20.

Honeywell (HON) lifted the DJIA futures earlier this morning after posting earnings of $0.63 EPS vs $0.61 estimates and revenues at $7.9 Billion versus estimates of $7.65 Billion.

Pfizer (PFE) posted earnings of $0.50 EPS vs $0.48 estimates, and guidance has alleviated investor fears that generics are going to kick its brand drug business in the teeth. Shares are trading up 2% pre-market at $23.77.

Shares of Motorola (MOT) are still up 9.5% at $21.09 after the blew the doors off of estimates.

Intel (INTC) is down yet again, trading down another 3% pre-market at $17.90. The EPS of $0.15 was ahead of the street average at $0.13 to $0.14, but the revenues missed and the company lowered revenues and margins expectations again for the year. The company is winning back some of its Advanced Micro (AMD) losses, but it is coming via price cuts. The performance reviews I have read in the last month also put the Intel dual core processor offerings as better performers than the new AMD dual cores, but unfortunately these are all so powerful now that the pricing is a huge determining factor. Afterall if you can fly Mach 8 and reach a destination in 3 hours, it may not be worth the extra $2,000 to most if they can fly Mach 8.8 and get there in 2 hours and 42 minutes.

Jon C. Ogg
July 20, 2006

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