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Technology Stocks : S3 (Multimedia semi's place 2be)
SIII 0.00010000.0%May 12 5:00 PM EST

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To: chuckj who wrote (8209)3/10/1997 5:40:00 PM
From: stockroach   of 9477
 
Chuckj:
Can you elaborate on how Compaq has been screwing S3. Do they get
better prices were as the margins are not as good. S3 stated that
gross margins are going up. Compaq will still be in the top 5 or 6
customers for S3, S3 still has most of the Persario Business.
According to the info I have available to me regarding Compaq, the
new systems that have the Cyrix chips have not cut into S3 volume.
This is a new market for Compaq.
Typical for S3, alot of good news and the stock goes down. I am
not sure what the market is looking for but it looks like we will
stay in the $16 - $18 range. According to the economist on CNBC
the US economy is in great shape and does not see the fed throwing
cold water on the stock market at least until May. I doubt that S3
will make a serious surge until late July unles we get a breakthough
announcemnt like a portable win. Can anyone say Toshiba? Just a RUMOR.
Grogg
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