Oppenheimer Adjusts Novellus Systems Estimates

In a report released this morning, Oppenheimer said that Novellus Systems, Inc. NVLS maintained its hesitant tone/outlook from the mid-qtr update in early September, citing: 1) lumpiness in timing of projects, 2) unstable macro fundamentals, and 3) uncertainty around US tax laws. “We believe semi cap equipment fundamentals have encountered some mid-cycle choppiness, comprising some foundry push-outs, exacerbated by a -20%-30% roll-over in DRAM pricing, without the onset of new NAND fab spending,” Oppenheimer writes. “As such, we are reining in our Y/Y growth forecast for NVLS, and adjusting our 2010/2011 EPS ests down to $2.96/$3.23.” Novellus Systems, Inc. currently trades at $27.38.