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

To: MarkM who wrote (22378)	3/18/1998 9:12:00 AM
From: Shane Stump	Respond to of 97611

I think the more interesting stocks to watch for backlash will be Dell and GTW. Shane

To: MarkM who wrote (22378)	3/18/1998 9:15:00 AM
From: Richie	Read Replies (2) \| Respond to of 97611

This is no doubt an aggressive plan. I would not be surprised if there is more to all of this than meets the eye. Here's what i mean. Obviously CPQ stuffed the channel with inventory in the 4th quarter to bolster its 4th quarter earnings, and it just so happens, that discussions are going on to purchase DIGITAL, although it was not announced till the first quarter. Along comes the first quarter, they announce they are going to break even for the quarter.......hmmm, sounds a little fishy to me (there is much more to this). Maybe someone can explain the value of the DEC deal based on a CPQ stock price of 23? RichieH

To: MarkM who wrote (22378)	3/18/1998 9:16:00 AM
From: Hugh W.	Read Replies (3) \| Respond to of 97611

With such aggressive price cut, CPQ may see 15 in near team. BUT after the first 2 quarters of 98, when they turnaround, they will have doubled market shares. This is the strategy every businessmen know. The CEO who more concerns their stock price will fall. The CEO who more concerns their market shares will win. Price cut, it will hurt everybody. I will buy those PC stock with DEPEST price cut and sell those has least price cut.

To: MarkM who wrote (22378)	3/18/1998 9:18:00 AM
From: Paul Tarbox	Respond to of 97611

One issue I haven't seen raised before is the new disposable computers. I have six pc's and four are compaq's which I have been very happy with. I do not expect to keep any of them more than a couple of years as the new technology and cheap prices make it useless to upgrade/repair them. Most recent machine is very fast and does all the things I need it to do-if one of my older machines goes kaput, I will trash it, give it away, and buy a new box. They speak of market saturation and the like, but folks that have a computer are tied to them now and they are necessary like a tv set. When tv's break now, you junk them and get a new one-they are cheap enough you can't afford to have a tech work on them. I think computers will be the same way and we will see that sales element start to show up in the near future. Paul T.