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Technology Stocks : Compaq

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To: Night Writer who wrote (44485)1/21/1999 11:52:00 AM
From: rupert1  Read Replies (2) of 97611
 
NW: I think a tech sector (and maybe a market) correction is coming. Valuations are streched. Even CPQ has moved up to and beyond most of the street's prior expectations for this time. I hope upward momentum can keep going for a while, at least until CPQ valuation becomes unbearably stretched, too. Save for that possible correction, I still think that CPQ will surge to $52 just before or just after earnings, and if there are blow-out results (.44+) and/or blockbuster announcements can go to $58 before consolidating. But in my opinion the percentages for the short-term potential are weakening. However, if CPQ would dip to $45 or better, I think it is a short-term, no-brainer. I have cash waiting but am hesitating.
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