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Technology Stocks : Compaq

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To: TCGNJ who wrote (12171)12/28/1997 3:49:00 PM
From: Dulane U. Ponder  Read Replies (3) of 97611
 
I'm not a bear but things seem to be leading to a downturn. Even if certain tech stocks do well in Q4, cpq included, the market might not respond positively. Jim Cramer, who I think has a good sense of the market is not very sanguine, suggesting that there is a lliquidity problem emerging. Another recent article in Barron's referred to an upcoming "ice age" and another article I read (sorry can't remember what or where) suggested that the increase in overal float of shares in the maketplace (partly due to high IPO activity) would lead to an all-embracing dilutional effect in the months to come. Since noone has a crystal ball, all this doom and gloom may not come to pass. But it has certainly made me want to be extremely cautious and I have dumped all but the very best contenders for future growth. Cpq is one of the stocks I am keeping.
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