NEW YORK: Goldman Sachs on Thursday said it has cut its 2001 earnings per
share view on software giant Microsoft Corp. to $1.88 from $1.91, citing
sluggish retail PC demand.
Goldman noted that consumer PC sales account for only about 10 per cent of
Microsoft's total revenues and said that "with corporate demand likely
in-line with expectations our estimate revision is only relatively
moderate."
Goldman cut its December quarter revenues expectation by $125 million to a
range of $6.775 billion to $6.8 billion, up 11 per cent over last year versus
its earlier 13 per cent estimate.
Goldman cut $200 million from its March estimate and $150 million from its
June estimate.
Goldman still holds a market outperform rating on Microsoft.
Shares of Microsoft closed at $56-11/16 on Wednesday, up from a 52-week low
of $48-7/16 but well off a $52-week high of $119-15/16.
(C) Reuters Limited 2000.