To: S.C. Barnard who wrote (11932 ) 12/21/1997 12:19:00 PM From: Mark A. Palma Read Replies (1) | Respond to
Sitting here this morning reading the paper and noticing all the ads for CPQ computers. COMP USA, Circuit City, Best Buy, Office Max, etc. all have Compaq computers as the featured, most add space, computers!!!! What does this tell us? I also did my own little survey and went to about 5 local electronic stores here in Charlotte, NC and it is clearly evident that CPQ is leading the way this Christmas season in shelf space, sales, and advertisement by these stores! Again, what does this tell us? This tells us that CPQ is doing incredibally well this holiday season and they are definately going to have an awesome 4th quarter! I predict that CPQ will beat earning estimates by approximately .10, and I am willing to bet my CPQ stock on that!!!!!! I have slowly been adding from the 70's all the way until the current levels, and I am not the least bit worried! It is the biggest fallacy to say that CPQ's sub 1000 PC's are going to hurt their bottom line and that they don't make any money on these systems and many people have acted like this is all CPQ sells! The sub 1000 PC is one piece of the CPQ puzzle, and right now there is as much demand for high end CPQ machines as there is demand for the sub 1000 PC. CPQ is clearly winning at both levels, and is also taking the lead in the server market, Windows NT workstation market, and notebook computer market. CPQ is slowly positioning itself to be the premier provider and the most dominant player in the ever important PC industry. CPQ stock has been hurt due to unforseen and unpredictable circumstances that they have no control over. My PREDICTION, is that CPQ starts moving back up and splits in the 65 - 75 range, announces incredible earnings, and moves right back up to the 50 range post split. Many will be jumping on the CPQ boat after the split in the 30 - 40 range and they will ride the stock through an incredible 98!!!! Good luck to all and HAPPY INVESTING!
