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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: rudedog who wrote (77852)	2/9/2000 11:58:00 PM
From: Captain Jack	Read Replies (1) \| Respond to of 97611

Rude-- you are correct Q1 is always lower than Q4. Since MC stated 0.16 would come from operations and cap gains would be on top I wonder where it will come from. They just made that in Q4 - a traditionally big Q in comparison. Possibly the now have made the cuts expected 4 - 6 months ago? Possibly they quit buying anything except for production? Possibly _____________??? I wish us luck as I do not see it happening unless they have made some huge sales in the service dept,,, where the margins really are. It sure will not come from PCs so maybe they have a feeling top end hardware (servers) will be big?? But I still thought he meant the $1.06 would include the cap gains--- hell he could do $1.06 on cap gains alone......

To: rudedog who wrote (77852)	2/10/2000 5:55:00 AM
From: rupert1	Read Replies (4) \| Respond to of 97611

rudedog: It seems that even I am fallible! I always post from memory and sometimes I get mixed up. My main point remains, however. Given that Capellas has said that 1Q will be sequentially lower than 4Q has he given himself licence to proceed without a warning? 1Q is typically back-end loaded. Last year they knew it was bad all the way through but hoped the last two weeks would save their skin. It didn't. Meanwhile, because the quarter coincided with one of the windows in which insiders could sell their shares, many did. The bombshell was not dropped on shareholders until April. It seems three factors could mess things up this 1Q. 1. Difficulties in reducing overhanging inventory if buyers prefer to wait iPaq; the ability to ramp iPaq shipments up to achieve profitable levels in 1Q. 2. The effects of Windows 2000 on orders and shipment. 3. Any continuing YK2 delays in high end servers until after the leap-year test.