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Technology Stocks : Compaq

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To: Elwood P. Dowd who wrote (40736)12/21/1998 11:41:00 PM
From: Satish C. Shah  Read Replies (1) of 97611
 
Hello EPD:
>>The group says retail store unit sales of Windows-based PCs are up 31.7 percent from the same period last year while PC average prices, before rebates and without monitors, have declined to a new low of $992, which is the first time prices have fallen below $1,000.
The average price is 26 percent below the $1,340 shoppers were asked to pay a year ago.<<

It does not look good to me.

Say, as an industry, last year you sold 100 computers at $ 1340. 00 each, your total revenue was $ 134,000.00.
This year you sold 131.7 computers (31.7 % jump in unit sales) at $ 992.00 (average price)each. This year your total revenue is 131.7 X 992.00 = $ 130,646.60, a decline of 2.5 % in revenue for the PC industry.

Just my way of looking at it.

Regards,
Satish
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