For Immediate Release
Chicago, IL – July 26, 2012 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include KLA-TENCOR Corporation (
KLAC
- Analyst Report
)
, Intel Corp (
INTC
- Analyst Report
)
, ASML Holding (
ASML
- Snapshot Report
)
, L-3 Communications Holdings Inc. (
LLL
- Analyst Report
)
and Engility Holdings, Inc. (
EGL
)
.
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Wednesday’s Analyst Blog:
KLA Upgrades Surfscan
KLA-TENCOR Corporation (
KLAC
- Analyst Report
)
, an original equipment manufacturer (OEM) of process diagnostics and control (PDC) equipment, recently launched its first 450mm process control equipment. The Surfscan SP3 System as it is called is a tool for inspecting the wafer surface with the ability to detect surface quality after deposition and/or etching and create maps of the surface that could facilitate correction.
The drive toward 450mm wafers is increasing, with Intel Corp (
INTC
- Analyst Report
)
putting $4 billion into ASML Holding (
ASML
- Snapshot Report
)
for the research and development of 450mm technology. The transition of larger wafer sizes is a big positive for the chip industry, since it enables significant cost reduction, thereby facilitating the move toward the mobile and emerging markets.
Surfscan SP3 450 is the upgraded version of Surfscan SP2/SP2XP. The latest version has thrice the data processing capacity and better sensitivity, as well as higher resolution.
All these qualities make it ideal for manufacturers to deliver superior quality wafers to meet the chip manufacturer’s strict guidelines. The inspection equipment can be used at the chip level, or substrate level.
To survive the cutthroat competition in the semiconductor industry, companies are scrambling to come out with sleeker and smarter devices at lower cost. Chipmakers are therefore under great pressure to provide increasingly complex devices at lower costs. This is playing into KLA’s sweet spot, because its equipment is used to increase the efficiency of the manufacturing process.
In the third quarter of 2012 and in fiscal 2011, KLAC earned 56.0% and 64.0% of revenue respectively from the defect inspection segment alone. As may be expected, the segment is more insulated from ups and downs in the market, because of the increased efficiency.
As per U.S. research firm Gartner, the semiconductor industry is expected to generate $312.0 billion in 2012. IHS iSuppli is even more optimistic, estimating total revenue of $324.6 billion this year.
KLA reported revenue of $840.5 million in the third quarter of 2012, which was up 30.8% sequentially, 0.8% year over year, better than the guided range of $770-830 million and well ahead of the consensus estimate of $802.0 million.
Currently, KLA-TENCOR Corporation has a Zacks Rank of #3, implying a short-term Hold recommendation.
L-3 Gets $1.98B U.S. Army Contract
L-3 Communications Holdings Inc. (
LLL
- Analyst Report
)
has received a five-year contract worth $1.98 billion for rotary-wing aircraft maintenance and logistics support at Fort Rucker, Alabama from the U.S. Army Contracting Command on behalf of U.S. Army Aviation and Missile Life Cycle Management Command (AMCOM). The contract has a one-year base period and four one-year options.
A rotorcraft or rotary wing aircraft is a heavier-than-air flying machine that uses lift generated by wings, called rotor blades that revolve around a mast. Rotorcraft generally includes those aircraft where one or more rotors are required to provide lift throughout the entire flight, such as helicopters, cyclocopters, autogyros, and gyrodynes.
Per the contract, the company will be responsible for providing maintenance, logistics and other related sustainment support services for more than 600 helicopters used by the U.S. Army Aviation Center of Excellence and the U.S. Air Force Air Education Training Command.
Based in New York City, L-3 is a prime contractor in Command, Control, Communications, Intelligence, Surveillance and Reconnaissance systems, aircraft modernization and maintenance, and national security solutions. L-3 is also a leading provider of a broad range of electronic systems used on military and commercial platforms. Over the longer run, we view the company as one of the best-positioned pure defense players based on its non-platform focus, broad diversification of programs and its focus on shareholder value.
Recently, L-3 Communications completed the spin-off of 100% of a new, independent, publicly traded government services company – Engility Holdings, Inc. (
EGL
)
– to L-3 shareholders. We believe that L-3 Communications has ample opportunity for growth and profit expansion after the favorable conclusion to the spin-off of its Government Services businesses. The spin-off will remove a lot of uncertainty with respect to revenue and will also take away some of the lowest margins at the company.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Media Contact
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For Immediate Release
Chicago, IL – July 26, 2012 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include KLA-TENCOR Corporation ( KLAC - Analyst Report ) , Intel Corp ( INTC - Analyst Report ) , ASML Holding ( ASML - Snapshot Report ) , L-3 Communications Holdings Inc. ( LLL - Analyst Report ) and Engility Holdings, Inc. ( EGL ) .
Get the most recent insight from Zacks Equity Research with the free Profit from the Pros newsletter: http://at.zacks.com/?id=5513
Here are highlights from Wednesday’s Analyst Blog:
KLA Upgrades Surfscan
KLA-TENCOR Corporation ( KLAC - Analyst Report ) , an original equipment manufacturer (OEM) of process diagnostics and control (PDC) equipment, recently launched its first 450mm process control equipment. The Surfscan SP3 System as it is called is a tool for inspecting the wafer surface with the ability to detect surface quality after deposition and/or etching and create maps of the surface that could facilitate correction.
The drive toward 450mm wafers is increasing, with Intel Corp ( INTC - Analyst Report ) putting $4 billion into ASML Holding ( ASML - Snapshot Report ) for the research and development of 450mm technology. The transition of larger wafer sizes is a big positive for the chip industry, since it enables significant cost reduction, thereby facilitating the move toward the mobile and emerging markets.
Surfscan SP3 450 is the upgraded version of Surfscan SP2/SP2XP. The latest version has thrice the data processing capacity and better sensitivity, as well as higher resolution.
All these qualities make it ideal for manufacturers to deliver superior quality wafers to meet the chip manufacturer’s strict guidelines. The inspection equipment can be used at the chip level, or substrate level.
To survive the cutthroat competition in the semiconductor industry, companies are scrambling to come out with sleeker and smarter devices at lower cost. Chipmakers are therefore under great pressure to provide increasingly complex devices at lower costs. This is playing into KLA’s sweet spot, because its equipment is used to increase the efficiency of the manufacturing process.
In the third quarter of 2012 and in fiscal 2011, KLAC earned 56.0% and 64.0% of revenue respectively from the defect inspection segment alone. As may be expected, the segment is more insulated from ups and downs in the market, because of the increased efficiency.
As per U.S. research firm Gartner, the semiconductor industry is expected to generate $312.0 billion in 2012. IHS iSuppli is even more optimistic, estimating total revenue of $324.6 billion this year.
KLA reported revenue of $840.5 million in the third quarter of 2012, which was up 30.8% sequentially, 0.8% year over year, better than the guided range of $770-830 million and well ahead of the consensus estimate of $802.0 million.
Currently, KLA-TENCOR Corporation has a Zacks Rank of #3, implying a short-term Hold recommendation.
L-3 Gets $1.98B U.S. Army Contract
L-3 Communications Holdings Inc. ( LLL - Analyst Report ) has received a five-year contract worth $1.98 billion for rotary-wing aircraft maintenance and logistics support at Fort Rucker, Alabama from the U.S. Army Contracting Command on behalf of U.S. Army Aviation and Missile Life Cycle Management Command (AMCOM). The contract has a one-year base period and four one-year options.
A rotorcraft or rotary wing aircraft is a heavier-than-air flying machine that uses lift generated by wings, called rotor blades that revolve around a mast. Rotorcraft generally includes those aircraft where one or more rotors are required to provide lift throughout the entire flight, such as helicopters, cyclocopters, autogyros, and gyrodynes.
Per the contract, the company will be responsible for providing maintenance, logistics and other related sustainment support services for more than 600 helicopters used by the U.S. Army Aviation Center of Excellence and the U.S. Air Force Air Education Training Command.
Based in New York City, L-3 is a prime contractor in Command, Control, Communications, Intelligence, Surveillance and Reconnaissance systems, aircraft modernization and maintenance, and national security solutions. L-3 is also a leading provider of a broad range of electronic systems used on military and commercial platforms. Over the longer run, we view the company as one of the best-positioned pure defense players based on its non-platform focus, broad diversification of programs and its focus on shareholder value.
Recently, L-3 Communications completed the spin-off of 100% of a new, independent, publicly traded government services company – Engility Holdings, Inc. ( EGL ) – to L-3 shareholders. We believe that L-3 Communications has ample opportunity for growth and profit expansion after the favorable conclusion to the spin-off of its Government Services businesses. The spin-off will remove a lot of uncertainty with respect to revenue and will also take away some of the lowest margins at the company.
Want more from Zacks Equity Research? Subscribe to the free Profit from the Pros newsletter: http://at.zacks.com/?id=5515.
About Zacks Equity Research
Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.
Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.
Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today: http://at.zacks.com/?id=5517
About Zacks
Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leon Zacks. As a PhD from MIT Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros at http://at.zacks.com/?id=5518.
Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.
Follow us on Twitter: http://twitter.com/zacksresearch
Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts
Disclaimer: Past performance does not guarantee future results. Investors should always research companies and securities before making any investments. Nothing herein should be construed as an offer or solicitation to buy or sell any security.
Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
support@zacks.com
http://www.zacks.com
Read the full Analyst Report on KLAC
Read the full Analyst Report on INTC
Read the full Snapshot Report on ASML
Read the full Analyst Report on LLL
Read the full on EGL