Skip to main content

Micron Technology's

(MU)

rating got a little more micro this morning. The chipmaker was cut by a pair of analysts as the whole semiconductor sector continued to struggle.

PaineWebber

cut the company's rating to attractive from buy and its price target to $50 from $110, while

Morgan Stanley Dean Witter

cut it to outperform from strong buy.

The analyst actions come on the heels of recent comments about the semiconductor industry, especially in the wake of the

Intel

(INTC)

downgrade. Some analysts, such as

UBS Warburg

, which lowered price expectations on

DRAM chips, fear a price war between chipmakers.

DRAM is something of a silicon-based commodity, and one that ripples heavily through the computer manufacturing industry. With Intel cutting the price of that chip recently, many analysts fear that a widespread slashing of other chips, too, which would hurt future earnings.

Upgrades

Calpine

(CPN)

: UP at

ABN Amro

: 2000 earnings per share to $1.84 from $1.50, 2001 earnings per share to $2.37 from $1.92, price target: $109.

Ciena

(CIEN)

: UP at UBS Warburg: price target: $175 from $108.

Sprint

undefined

: UP to outperform from hold at ABN Amro.

Downgrades

Applied Materials

(AMAT)

: DOWN at

Credit Suisse First Boston

: 2001 earnings per share estimate at $3.25 from $3.75; price target to $75 from $112.