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Technology Stocks : Compaq

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To: Kenya AA who wrote (56571)4/10/1999 10:37:00 AM
From: daaan  Read Replies (2) of 97611
 
I would like your thoughts on this. CPQ management can only sell their stock at certain times if my understanding is correct. So they hyped their stock by manipulating the news about CPQ during their selling period and then sold into the froth. When I think back on the attention raising press meetings in NY about Alta Vista that were relatively unnecessary. They did not change the value of the company, just the value of the stock when it was most valuable to management.

It's classic pump and dump only on a Fortune 500 level.

The only recent positives I see is that IBM announcing that their going direct validates that it is necessary to endure the rebuke from the channel in the short term to survive on the thin margins in in the long term.

With the recent stock action EP will be pressured to spin some of the the Alta Vista shares to shareholders at zero cost and sell another portion in to the marketplace. That's called buying forgiveness.

I would appreciate any reaction.

Best Regards, daaan
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