Yesterday I posted a WSK report that CPQ and techs were hit by a Merrill Lynch warning that COMPAQ and others might disappoint. The news was megaphoned wall-to-wall by CNBC.
This is another version of what ML actually said from their own web site. You will note that it essentially says it does not expect CPQ disappoint on earnings but it might be short on revenues. The market has known about the potential revenue softness since late February.
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CPQ CLUB THREAD
With regard to the Merrill Lynch "warning" on CNBC, I expect that they are referring to comments from a research report dated 4/6 and posted on Merrill's website.The report on earnings thoughts (Server & PC Hardware) includes this statement about CPQ:
"Preannouncements have been few (onlySGI).Upside surprises are most likely from EMC,IBM,Lexmark,Network Appliance,Sun Micro,and Unisys. Revenue,though perhaps not earnings,disappointments are possible at Compaq,Data General,Hewlett-Packard,Sequent and Xerox." |
