Boris, I would have suspected that if the split wasn't approved..
What if they didn't have a choice, but to go ahead with approval? Where would CPQ price be by now if they didn't approve split, in low 40s at best?
cpq has blowout 4q97 and a blowout 1q98
I have absolutely no doubt about Compaq performing as a company. My doubts are about the direction of the whole computer sector. CPQ stock can't grow alone. I don't expect anything certain until DELL shows its earnings in FEB, unless they issue a warning (forward looking statement) earlier.
Lately, I started thinking that the computer sector is going nowhere for awhile until new killer applications come. Applications that will require much more power: multimedia, voice recognition, etc. Multimedia can't come before we switched to digital TV, ASDL or cable modems replace existing modems, software and hardware created, and there's enough content around to use all those gadgets.
I'm holding my breath until Jan99 (not 98 ) the earliest.
Right now the street seems to be in disarray. What sector they are choosing now?
Just MHO. |
