SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Compaq
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: van wang who wrote (21664)3/13/1998 10:51:00 AM
From: Tom M  Read Replies (2) of 97611
 
VW, I don't think the majority can imagine any more uncertainty than there is currently in CPQ right now. All the questions/uncertainty are flying about, and the price seems to be basing. The next "shoe", some are waiting for is bad DEC earnings. That's old news and has been in DEC's price. DEC announced in their last earnings report that analysts would have to lower estimates for this Q, and it is known to followers of DEC that they will have ASIAN impact as well as their usual reductions due to currency impact. I'll agree that there's a good chance that many who don't know this will panic depending on how the street will chose to spin it. Anybody's guess as to whether those who expected that news anyway will be buying the dip rather than selling, mitigating the drop. I'd have to say the street isn't usually immediately supportive of mergers, yet they're getting DEC for about 2X book which is a rarity in this market. It's also costing CPQ very little in cash when you sum it up with DEC's current & future cash from Intel & Cabletron, & even less when DEC's tax losses can be carried over. I don't think this is an average merger. I think DEC's shareholders will only be willing to accept it because they know they have the right technology now, they're just dying for a winning CEO.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News