DJ MARKET TALK: Trend Micro Down On KBC Ratings Cut
08/21/06 - Dow Jones Newswires
0525 GMT [Dow Jones] STOCK CALL: Trend Micro (4704.TO) down 1.5% at Y3,300 after brokerage KBC cuts rating to "Sell" from "Buy." Analyst Hiroshi Kamide cites changing business model from software to services based system as main reason behind downgrade. "Strategically, this is probably the right thing for them to be doing but this involves a lot of costs and so earnings visibility is going to become very cloudy," he says. Also adds only matter of time before Microsoft begins to muscle in on corporate e-security market so margins could stay under pressure. (JMI)
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(END) Dow Jones Newswires
August 21, 2006 01:25 ET (05:25 GMT)
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