Message-ID: <6560258.1075857110100.JavaMail.evans@thyme> Date: Wed, 13 Dec 2000 03:04:00 -0800 (PST) From: whisperreporthtml-request@earningswhispers.com To: whisperreporthtml@earningswhispers.com Subject: Oracle Beats the Tech Trend Mime-Version: 1.0 Content-Type: text/plain; charset=ANSI_X3.4-1968 Content-Transfer-Encoding: 7bit X-From: whisperreporthtml-request@earningswhispers.com X-To: "HTML WR Subscribers" X-cc: X-bcc: X-Folder: \Andrew_Lewis_Dec2000\Notes Folders\Notes inbox X-Origin: Lewis-A X-FileName: alewis.nsf ? EarningsWhispers.com is Barron's Favorite Source for Earnings Information Fundamentals Always Prevail: These 14 Stocks Will Prove It Since 1994, Alvin Toral averaged a whopping +79.3% yearly. His secret? "Fundamentals always prevail": booming revenues and earnings, reasonable P/Es, strong cash flow. He just said "buy" to 14 fundamentally-solid stocks. Get this FREE Report: http://www.investools.com/c/go/PFUN/WHISP-pfunTB1?s=S601 Despite an onslaught of earnings warnings from tech companies lately, the consensus expectation for Oracle (ORCL) is for at least a penny earnings surprise and possibly a two-cent positive surprise. Bert Hochfeld at Josephthal & Co., one of the more accurate analysts following Oracle, is one of two analysts that have an official earnings estimate of $0.11 per share. Mr. Hochfeld told clients recently that the company would meet his expectations with strong U.S. sales offset by disappointing European sales.? The consensus among the 28 analysts is for Oracle to earn $0.10 per share on revenue of just under $2.7 billion, yet even the more conservative analysts are optimistic. Gretchen Teagarden at Salomon Smith Barney is one of the few analysts with an estimate below $0.10 per share, but her revenue estimate is slightly above the consensus revenue estimate. On Tuesday Chris Shilakes at Merrill Lynch told clients that he is projecting earnings of $0.10 per share on revenue of $2.68 billion. However, he added that revenue might be slightly better than his projections and Oracle's continued improvement with operating margins should lead to earnings of $0.11 to $0.12 per share.? Last week Jim Pickrel at Chase H & Q told clients that he expects the company to meet or beat his earnings estimate of $0.10 per share and revenue estimate of $2.6 billion. He stated that Oracle's "pipeline appears robust" and that the company should achieve 52% revenue growth or better in its applications business. The pressing issues regarding Oracle among the analysts are next quarter and the recent management turnover. Mr. Pickrel stated Oracle's Senior Vice President Gary Bloom's departure would not have much of an impact, but turnover in other key management positions is an issue. Yet, the recent pact with CitiGroup (C) adds some confidence in the current team. Richard Davis at Needham & Co. told clients recently that this quarter would be fine but still downgraded Oracle's stock because of the departure of Bloom and Senior Vice President Ray Lane reduces the company's earnings visibility and may encourage others to leave the company as well. Mr. Upin said that Oracle could have a tough February quarter and could see its toughest test of its performance in the applications space in the May quarter. Yet, overall the analysts like the stock and believe the recent stock price is a buying opportunity.? As result, the company will need to at least meet or beat the $0.11 Earnings Whisper number and provide the analysts comfort with the current management team and the upcoming quarters. If this can be accomplished during the conference call on Thursday, some analysts believe the stock could reach $35 in the very near term. You may listen to Oracle's conference call at http://www.nasdaq.com/reference/broadcast_oracle.htm beginning at 5:30 PM ET on Thursday. Click here to visit our Sponsor! (c) Copyright 2000, EarningsWhispers.com To unsubscribe from the Whisper Report, please click here. http://www.earningswhispers.com/unsubscribe.asp