Topic: Growth Stocks

The Wall Street Stock Forecaster Hotline – Friday, February 29, 2008

Article Excerpt

AUTODESK INC. $31.09, Nasdaq symbol ADSK, fell over 15% this week after it reported earnings that fell short of earlier forecasts. In the fiscal year ended January 31, 2008, Autodesk earned $1.88 a share before unusual items, up 22.9% from $1.53 in the prior year. Revenue rose 22.2%, to $2.2 billion from $1.8 billion. The company spent 22% of its fiscal 2008 revenue on research. Autodesk gets roughly 90% its earnings from its core AutoCAD software products, which engineers and architects use to design machinery, buildings and so on. An economic slowdown, particularly in housing, could cut demand for AutoCAD, and this has weighed on the stock price. Plans to expand its salesforce will also put pressure on Autodesk’s short-term profit margins. Autodesk is still a hold. APPLE INC. $125.02, Nasdaq symbol AAPL, gained $5 this week after the company announced that it will soon let other companies develop software applications for the iPhone. Better support for email and other functions should increase…