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

To: PCSS who wrote (86569)	11/9/2000 7:23:31 PM
From: Andreas	Read Replies (1) \| Respond to of 97611

Elwood, Michael, MeDroogies, and others; Dell's current trailing p/e is about 44.60 while cpq's is 32.3. Furthermore, Q4 for cpq will substitute higher eps for lower eps to a greater extent than dell, thereby bringing down the cpq p/e even further relative to Dell's p/e. In other words the spread between cpq's and dell's forward p/e will be even larger. Unfortunately, there is a disconnect between cpq whose growth rate is accelerating while dell's growth rate is contracting. The market, for reasons which are unclear to me, fails to recognize the difference between the two in terms of forward earnings growth rates! Will this situation ever be corrected I wonder? As for tomorrow, I have a feeling that cpq will not take it on the chin as much as dell for the very reasons I cite above. Nonetheless, it will be punished for dell's problems. Michael, when will the market recognize once and for all that cpq is quite a different company from dell?

To: PCSS who wrote (86569)	11/9/2000 9:36:53 PM
From: Elwood P. Dowd	Respond to of 97611

Lifted from the DELL thread: To: D.J.Smyth who wrote (162627) From: John Koligman Thursday, November 9, 2000 8:26 PM ET Reply # of 162637 D.J. - I loved this line from Mikey in view of his prior statements concerning Compaq being in the 'rearview mirror'... Of course it's only 'incrementally', and just a matter of time before the server markets fall to Dell... Regards, John Some of our competitors became incrementally more competitive," CEO Michael Dell said in the conference call. In the future, the company will concentrate on notebooks, servers, storage systems and services. Although a relative newcomer to the services market, Dell saw service revenue came to $665 million in the quarter, or 17 percent of Dell's total revenue.