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Technology Stocks : Compaq
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To: Jack who wrote (13046)1/10/1998 4:30:00 PM
From: Kashish King  Read Replies (2) of 97611
 
Is CPQ going to meltdown on Monday?

The terse resignation of two high-level executives is the latest in a serious of troubling developments. As though the extent of Compaq's exposure in Asia were not bad enough, now we hear they have been stuffing sales channels to paint an artificially healthy picture of the company. That can work provided you have an immediate plan to compensate for the severe drought which follows. I don't see that and the virtual meltdown of Asia could translate into a very ugly quarter for CPQ:

...Matthews said he believes there is "internal management issues" related to what he called a "disconnect we seem to have between the wildly bullish everything couldn't be better face Compaq is putting on the world, when we know, in fact, they are stuffing the daylights out of the channel."
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