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Technology Stocks : EDS - Recent pullback a buy opportunity???

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To: Andreas who wrote (1146)9/1/1998 7:00:00 PM
From: Dave O.  Read Replies (2) of 1841
 
< when I talk to investment gurus and brokers, etc. they, with very few exceptions, tell me that eds is a loser that few people want >

EDS has many negatives to overcome; (1) incredibly poor communication with Wall Street. What kind of broker wants to make positive recommendations on a company that keeps analysts in the dark and also has missed earnings way too often recently? (2) Do you think Wall Street respects a company that gives their CEO a $35 million golden parachute when he's taken the company's market cap down by 45% in the past 2 years? This "gift" to Alberthal shows that management does not practice what they preach (i.e "pay for performance"). This action is an insult to shareholders and the employees of EDS.

In the end EDS should be a better company with a more charismatic CEO in place. I saw that Oracle's President was on the short list. I'm not sure I'd want a guy who has seen his company experiencing much slower growth in their applications business as ORCL has done recently.

Dave
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