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Technology Stocks : Compaq

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To: Elwood P. Dowd who wrote (77821)2/9/2000 8:47:00 PM
From: Salah Mohamed  Read Replies (1) of 97611
 
El ... About Q1

>>>Did he ever say he'd make the earnings estimates WITHOUT the sale of assets?<<<

Yes, but he didn't address Q1, except to say that revenues will be lower than Q4-99 due to seasonality. Specifically, he said he is comfortable with the EPS estimates for FY00 of $1.06 to $1.08 excluding gains from assets sales and special charges.

In both Q1-00 and Q2=00, they will have a charge of $60M to $65M for NT on alpha which will be included in Cost Of Goods. If they have gains from asset sales of about the same amount, then the net effect on EPS would be nil.

For Q1, analysts estimates are: $9.6B revenue compaq.com

and EPS of $.16. IMO, they should meet these numbers easily
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