“Turner contends EPS for the fiscal fourth quarter ended June, which is due next week, will come up short of Street expectations: he sees 33 cents, while the Street is at 36 cents. That puts his FY 2009 EPS estimate at $1.66, below the Street at $1.70. Moreover, his forecast for FY 2010 is for $1.64, well off the Street at $1.83,” Savitz reports.
Savitz reports, “The much lower number for the June 2010 year reflects his view that adoption of Windows 7 will be slower than the Street expects. Moreover, he thinks MSFT is going to see its market share in the operating system segment gradually eroded… Turner contends that current Street estimates for the fourth quarter ‘do not…appear to reflect the size of the shifts underway in the software business in general and in the operating systems segment in particular.'”
Savitz reports, “While he sees a miss in the June quarter, his bigger point is that the company is going to be challenged to maintain its dominant position in the OS market in the long run. ‘We believe Microsoft has misjudged – or more judiciously, has been unable to react swiftly to – the shift towards simpler operating systems on cheaper, more portable devices, including cell phones, smart phones and netbooks.'”
Full article here.
MacDailyNews Take: In other words, the rudderless Microtanic continues to barrel blindly towards the looming Apple and Google icebergs.
