Intel first told him to leave the investment gains out of his forecast, he said, and then, a few days later, told him to include them. Osha hasn't changed his earnings estimate for the second quarter, which was at 72 cents before the company's announcement. He said he plans to raise his estimate of 71 cents a share profit before Intel reports earnings on July 18. As a matter of convention, a company will normally set the pace for what number goes into the consensus. Yesterday, Wong raised his second-quarter profit estimate to 98 cents from 71 cents.
Many investors agree.
It confuses things. Angers said the higher earnings forecasts for Intel, which accounts for 2.5 percent of the Glenmede Strategic Equity Fund he helps manage, tell him nothing new or helpful. Intel isn't the first or only company to try to influence what's included in or excluded from analysts' earnings estimates. Yahoo has persuaded analysts to accept its practice of reporting earnings that exclude acquisition-related charges, such as amortization of goodwill. As a result, Yahoo last year reported second-quarter earnings of 11 cents a share.