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Technology Stocks : Compaq

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To: Dulane U. Ponder who wrote (17660)2/19/1998 8:14:00 PM
From: Mike Gordon  Read Replies (1) of 97611
 
Dulane: What happened to CPQ today? I would have thought that it would have spiked up in tandem with Dell. At least 37+. Many will probably say it is the net effect of the DEC merger. To a certain extent their right. However, I still have memories of the presplit days. CPQ never seemed to move on CPQ fundamentals or industry fundamentals. The answer might be found in the abundance of institutional investors which hold the issue, all trying to trade on the same buy/sell characteristics. Because the average institution seems to have a major position in CPQ as compared to their other holdings, the shear daily volume precludes any meaning spike. JMHO.

Mike Gordon
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