Joel,
At some point all markets/companies reach saturation. However, you are saying growth of 11%. When? All research I read says the PC market in general is growing faster than that, and CPQ is taking share. Other than a guess, where are you getting your numbers and what do you base this on? Go to Compaq's home page and click on 'company information'. Once there, you can call up graphs on the company's financial position. Look at the graph on cash accumulation, for instance. You will see that it is accelerating, they have built up a couple billion in just the last few quarters. All signs point to the fact that things are speeding up, not slowing down. The company has NO debt and is printing cash. If you can't come up with anything other than 'theory', you don't really have much to go on. Are you willing to go short on your theory? Or do you have a short position in the stock?
John
Remember back in the early days of the auto industry, there were many small players. Some companies will just be able to make more than others due to their ability to manufacture, distribute, and manage inventory better than the others. Right now, there are two companies like that in this industy, and I think you know who they are!! |
