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Technology Stocks : Read-Rite

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To: Donald Isenhower who wrote (3012)5/2/1998 6:03:00 PM
From: CPAMarty  Read Replies (1) of 5058
 
from Barrons 5/4/98 edition pp. 19-20

Poyner also expects Gateway's profit margins to stop increasing and perhaps shrink. He notes that rivals such as Compaq and IBM have been slashing PC prices. That, he believes, will hurt the entire industry. Margins could also come under pressure as the price of computer parts, which has been falling, could soon begin to flatten out or even rise.
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