NEW YORK (CNNfn) - The nation's brokerages took a bite out of the chip sector Friday, slamming Intel along with the entire industry after the company warned about weak revenue growth.
A slew of analysts downgraded the world's No. 1 chip maker's stock, including Deutsche Banc Alex. Brown, Goldman Sachs, Salomon Smith Barney, Chase Hambrecht & Quist, Morgan Stanley Dean Witter, ABN Amro, Dresdner Kleinwort Benson, Prudential Securities and CIBC World Markets.
Lehman Brothers analyst Dan Niles even apologized for supporting the company Thursday. "We apologize for unfortunately underestimating the main factor that concerned us in our First Call note yesterday, which was Europe," he said in a note to clients.
Niles cut his earnings-per-share estimate for fiscal 2000 on Intel (INTC: Research, Estimates) to $1.63 from $1.74 and for 2001 to $1.65 from $1.90.
He also drastically reduced its price target to $65 from $88, but reiterated a "buy" rating.
Banc of America Securities cut its earnings-per-share 2000 estimate and slashed its price target to $65 from $70.
Credit Suisse First Boston lowered its estimate to $1.67 from $1.77 for  fiscal 2000 but kept a "strong buy" rating and $100 price target.
Merrill Lynch lowered its 2000 revenue estimate to $34.7 billion from $34.97 billion and trimmed its price target to $70. But it reiterated a "near term accumulate and long term buy" rating.
J.P. Morgan cut its price target to $71 from $86 but maintained a "buy" rating.
PaineWebber lowered its price target to $70 from $85 but kept its "attractive" rating.
Chase Hambrecht & Quist halved its 12-month price target to $50 from $100.
Meanwhile, Intel's misery impacted the entire the semiconductor equipment sector. S.G. Cowen analyst Tia-min Pang lowered ratings on Applied Materials (AMAT: Research, Estimates), Brooks Automation (BRKS: Research, Estimates), Credence Systems (CMOS: Research, Estimates), Nova Measuring Instruments (NVMI: Research, Estimates), Photronics (PLAB: Research, Estimates) and PRI Automation (PRIA: Research, Estimates) to "buy" from "strong buy."
And both Deutsche Banc Alex. Brown and Chase H&Q slashed Advanced Micro Devices (AMD: Research, Estimates), Intel's leading rival, to "market perform" from "buy."
Intel's stock has been closely watched since U.S. Bancorp Piper Jaffray analyst Ashok Kumar downgraded it in early September.
On Thursday, Intel warned that third-quarter revenue would miss company forecasts, sending global equity markets sharply lower.
Shares of Intel plunged $12.72, or nearly 21 percent, to $48.75 in late morning trading. 
-- compiled from staff and wire reports
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