Borland blames 'pack analysis' for decline in its stock; company and some who follow it say earnings downgrades are overdone

Article Abstract:

Borland International Inc says that its stock prices have been damaged by analysts' gloomy predictions about the company's financial performance. Because one analyst at Kidder, Peabody and Co told investors to sell Borland stock because Quattro Pro for Windows was experiencing sales difficulties, other analysts spread the rumor, and the company's stock price fell by 25 percent in two days. The stock was reported at $27.625 at the end of Oct 8, 1992, a decrease of $2.875. According to Borland, the company is getting a healthy number of orders, and it is impossible to predict end sales at this early stage, when Borland only started to ship the program in Sep 1992. Some analysts agree with the company that it is too early to predict Quattro Pro sales, while some contend that sales are not going to be good enough to bring the company's earnings up.

Company Profile, Forecasting, Borland International Inc., Financial Analysis Software, Losses, BORL

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Oracle Systems posts 1.3% rise in 3rd-quarter net

Article Abstract:

Oracle Systems Corp, citing an accounting problem, reports nearly flat net income on a 54 percent rise in revenue in the company's fiscal 3rd qtr. Oracle's net for the qtr ended Feb 28, 1990, was $24.3 million, or 18 cents a share, up 1.3 percent from the year-earlier net of $24 million, also 18 cents a share. Revenue rose from $153.4 million to $236.4 million. These results contrast sharply with previous quarters. In 1989, Oracle's quarterly net growth ranged between 65 percent and 84 percent. The company ended 1989 with a 90 percent profit growth for the year. The 3rd qtr results are a surprise to industry analysts: the big question, according to David Readerman of Shearson, Lehman Hutton Inc, is whether there is a fundamental change in Oracle's growth rate or whether, as management claims, this is a one-quarter phenomenon.

Oracle Corp., ORCL, Growth (Physiology), Growth, Computer Industry, Computer Software Industry, Third Quarter

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Sun Microsystems' net jumps 35%; record shipments of workstations cited

Article Abstract:

Sun Microsystems Inc reports a 35 percent improvement in net income for the 4th qtr ended Jun 30, 1991. The computer manufacturer notes that improved profit margins and a record in the shipment of its workstations are responsible for the large increase. Sun is experiencing this growth in a market that is experiencing an overall slowdown because of the economic recession. Sun shipped 49,000 workstations during the quarter and had revenue of $942.5 million, which is up from the $700 million in reported during the same period in 1990. Net income for the 4th qtr ending in 1991 was $66.4 million, or 63 cents a share, compared with $49.1 million, or 51 cents a share, for the same period in 1990. Sun's stock closed at $32.25 a share on Aug 8, 1991, down $1.875 a share for the day.

Electronic computers, Statistics, Sun Microsystems Inc., SUNW, Workstations (Computers), Workstations, Financial Report, Fourth Quarter

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