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

To: John Meissner who wrote (23007)	3/22/1998 6:43:00 PM
From: ed	Read Replies (2) \| Respond to of 97611

Thinking about CPQ's volume per year (around 12 MM units PCS) , the 250000 units in inventory just counts about 2% of annual sales in units. my logic guess is that the inventory has been pretty much cleared at this point, and CPQ is ready to be loaded the latest new models of PCs in April, that is the month for big companies to place order for Ps which will be sold in the summer.

To: John Meissner who wrote (23007)	3/23/1998 12:20:00 AM
From: van wang	Read Replies (1) \| Respond to of 97611

John M...to be honest, I though CPQ took the most optimistic view...meaning that this round of price cuts will result in flat quarter...but I think its worst then they are letting on...also there are other issues: DEC integration, sub 1000 cannabization, slowing demand, Asia, and the channel assembly model (which is not going as smoothly as one likes...I also think there is a high learning curve here)...any other factors to chew besides inventory...bibifn

To: John Meissner who wrote (23007)	3/23/1998 11:19:00 AM
From: John Chen	Respond to of 97611

John M,re:"Big boys". Thanks for the detail. I'm aware of the "opportunity" these guys have with 'option/short'. Wish I knew that tricks (and have the resource to do it). I know of someone fresh out of school(Walton Business School?) and made over $100K/yr and $200k+bonus/yr, something is "RIGHT" there. Just last week, 'expert's predicting oil price will be below single digit soon and the sudden drops in all OIL-related stocks, they are most if not all NEW HIGHs now. I got that fishy feeling when someone mentioned 'single digit oil price'. The intention to squeeze that last desperation drop. Same here on CPQ, when someone said expecting $7 more drop before buying, it creates a short-term hopelessness and great buying opportunity. These things happens mostly with 'expert' with influence on the price.