They had strong execution for the most

In a first-quarter earnings gucci handbags report that did not inspire investors to push Intel's recently high-flying stock further, the company also said costs associated with ramping up new production lines would hurt gross margins more than expected. "It's not that they disappointed, they just didn't give us the bull case. In previous quarters they blew the numbers out of the water," said Patrick Wang, an analyst at Evercore Partners. The long-time technology bellwether is ramping up production of its newest PC processor, codenamed Ivy Bridge, which is expected to drive sales later this year and power a new crop of super-thin laptops dubbed "ultrabooks." But the costs of upgrading the factories gucci shirts where the chips are being made is temporarily hurting margins, Chief Financial Officer Stacy Smith told a conference call. That was bad news to Wall Street, which has pushed shares of Intel 17 percent higher so far this year. "They had strong execution for the most part, and in-line expectations for the PC market. But from a investor standpoint you have a multi-year high stock price, very much priced for perfection. That gross margin guidance, while understandable, was not perfection," said Cody Acree, an analyst at Williams Financial Group. Intel said non-GAAP gross margins in the second quarter would be 62 percent, plus or minus 2 percentage points, down from 64 percent in gucci bags he first quarter. Intel's full-year gross margin forecast of 64 percent was unchanged. BANKING ON ULTRABOOKS Shaky economies in Europe and the United States, a growing consumer preference for tablets, and a recent shortage of hard drives due to flooding in Thailand last year have taken a toll on the PC industry. Demand in China and other emerging economies has helped sustain growth, and CFO Smith said business would pick up more as the industry recovers further from the hard-drive shortage and PC manufacturers replenish low component inventories. "As we ramp Ivy Bridge and people gear buy louis vuitton belts luxury womens 2012 new online up for these really capable ultrabook sales in the last half of the year, you'll start to see them refilling their pipelines with new products in the back half of this year," Smith told Reuters.