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Technology Stocks : Compaq
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To: Mike Gordon who wrote (22884)3/21/1998 9:56:00 PM
From: QMS  Read Replies (1) of 97611
 
I would like to know where Compaq will make its money .They have been tremendous in the server market and the rack mounted Proliant units are second to none.But looking foward the competition is squeezing this business.Dell (new sever factory) Ibm and Hp.I am afraid the margin decline in servers will no longer cover up the lack of desktop profitability.Service is in the hand of third parties.Digital is so large in terms of employees ,assimilating or canning them could take forever.Does Compaq have the managemment in place to do this?I am not clear anymore why I would buy this stock.Low price just wont cut it.
Its down from 38 ,its a good franchise ,its all bull.Compaq has a major selling job in front of them .I wouldnt be suprised if we do not see 30 this year.

Qms
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