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Technology Stocks : HDCO - Why sudden dip?

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To: Douglas V. Fant who wrote (421)3/27/1998 3:05:00 PM
From: Doug  Read Replies (2) of 572
 
Douglas.V: There are a handful of negatives which may have some impact.

a:ASEAN financial crisis causing exports to dry up whilst accelerating imports.Effect to be felt post Q1 to Q3.

b: Heavy competition from other EMC's causing decreasing margins.

c:Large debt causing increased servicing cost.

d:OEM's under intense price pressure and smaller sales growth leading to margin squeeze on the EMC's. The drillers and Oil stocks are an example of this interaction.
e:Lower Sales growth for the OEM box makers means less revenue for the EMC's.
f:Overcapacity of EMC's on a global basis.

I appreciate that there are many positives from your perspective.
That so, perhaps you may care to post your rebuttal. Thx.
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