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Technology Stocks : Compaq

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To: Tumbleweed who wrote (31567)8/26/1998 8:48:00 AM
From: Lynn  Read Replies (2) of 97611
 
It's always dangerous to make investment decisions based on a stock's _past_ performance. Will CPQ be up 50% from its current price this time next year? I hope so but the only thing I can state emphatically is that chances of CPQ gaining 50% are far greater than DELL shares tripling again during the next year (split adjusted).

Right now I only hold shares of CPQ. I (and others here such as Rudedog, Night Writer, El etc) do not view CPQ as merely a box maker, as is DELL, and therefore would not mind owning shares of both CPQ and DELL. Indeed, the only reason I have not picked up some shares of DELL is because its PE has given me nose bleeds for over a year. If I had or if I eventually do buy some DELL, the money for the shares would _not_ come from the sale of any shares of CPQ.

One thing to keep in mind before you sell any shares of CPQ (if you do) is that the sale is going to mean writing a check to Uncle Sam (IRS). I personally normally only move money from a long term sale into a stock I intend to also hold for the long term.

Good luck making your decision-

Lynn
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