On The Wall Street Journal Report, CPQ was Ned Babbit's Investment pick of the week. He said he liked CPQ with the DEC acquisition, and that CPQ was attractive at 17 times 1999 earnings. In pc's, CPQ is still growing at 3 times the industry average, and thinks that CPQ can continue to improve on it's 15% market share over time.
He didn't have a price target for CPQ at which point he would sell, rather saying that he plans to hold CPQ over the long term, but would sell if earnings came up short next year or if CPQ didn't keep the integration of Digital on the fast track.
Forget what the name of his fund was, but it had something like a 19.6% annual return over the last several years. He didn't do so well on his last pick however, forgot what it was... ICIC?... some chemical company, I think... he recommended it at $74, it's now at $58 and he said he would sell it.
b.c. |
