Power Systems Supplier International Rectifier Warns on Lower Q3 Sales (IRF, CSCO, IBM, MOT)

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 |  Includes: CSCO, GOOG, IBM, IRF
by: Tony Sagami

Tony Sagami, owner and founder of Harvest Advisors, submits: International Rectifier (ticker: IRF) makes power systems that help manage switch electricity on and off to supply power to the electronics devices, such as appliances, computers, and cars. Top customers include Bosch, Cisco (ticker: CSCO), IBM (ticker: IBM), Lockheed Martin, Maytag, Motorola (ticker: MOT), and Philips. Business, however, isn’t so hot. Details:

==> IRF warned that its Q3 sales would be approximately $273 million, which is about 3% lower than Q2 sales of $281.8 million.
==> Profits, at 35 to 37 cents, are well short of the 51 cents the Jack-and-the-Beanstalk crowd was counting on.
==> Profit margins are shrinking too, falling from 43.5% to 40.5% in the last 90 days.

News story here.

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