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

To: rudedog who wrote (87826)	12/13/2000 9:17:42 AM
From: Andreas	Respond to of 97611

Thread; The following is taken from a ML statement by Steve fortuna issued this morning; "The revenue shortfall is on the order of $1 billion, roughly equally divided between consumer PCs, commercial PCs, and low-end servers. It appears only North America was impacted. Inventory levels appear to be tracking in the normal four week range on the commercial side and seven weeks on the retail side, a few weeks above the normal range. The shortfall puts the 4Q revenue line in the $11.2- $11.4 billion range, even below our recently revised estimate, which was well below the Street consensus $12.3-$12.4 billion. For 4Q we are cutting our sales and EPS forecast to $11.43 billion (up 9.1%) and $0.28 from $11.84 billion (up 13.0%) and $0.30. We are maintaining our 7.0% revenue growth assumption ($45.2 billion) for next year, down slightly from our previous forecast of $45.7 billion owing to a lower base. Our $1.05 EPS forecast also remains intact. We reiterate our Accumulate rating on Compaq shares." The above answers my question as to whether or not the sales shortfall came exclusively from consumer pcs. Apparently not! The sales loss was shared equally among consumer pcs, commercial pcs and low-end servers.