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

To: Still Rolling who wrote (28798)	7/9/1998 6:46:00 PM
From: zandd	Read Replies (1) \| Respond to of 97611

New here, and just have a quick question. I put in a stop order after noon today at 31 3/8, but my broker sold the stock at 31 7/16. Looking at the intraday, it doesn't appear that the stock hit 31 3/8 after noon. Did my broker drop the ball? Or did it hit 31 3/8 and then pop back up? Thanks in advance for any help you guys can give. zandd

To: Still Rolling who wrote (28798)	7/9/1998 8:15:00 PM
From: TLindt	Respond to of 97611

Shares Of PC Makers Rally As Gloom Begins To Lift By Lisa Bransten The Wall Street Journal Interactive Edition SAN FRANCISCO (Dow Jone)--Shares of personal-computer makers rose for the second consecutive session Thursday amid hopes the hardware companies are starting to emerge from the difficult period they faced earlier this year. In afternoon trading, Compaq Computer (CPQ) added 1 3/4 to 31 9/16 on the New York Stock Exchange, while Dell Computer (DELL) advanced 3 1/2 to 99 7/8 and Gateway (GTW) climbed 2 1/8 to 61 7/8, both on the Nasdaq Stock Market. Also contributing to the renewed enthusiasm for the PC makers were some rumors in the market that International Business Machines (IBM) was interested in buying Gateway. Both companies declined to comment on the rumors, although some analysts discounted them. Dan Niles, an analyst at BancAmerica Robertson Stephens, said he believed the stocks were rising for more fundamental reasons than takeover rumors. 'Inventories have hit bottom, are improving,' he said. 'You buy stocks when that happens.' Compaq and Gateway - and to some extent Dell - have been hurt in recent months by falling PC prices and the economic slowdown in Asia. Compaq, the only one of the three that doesn't sell directly to consumers, had also been hurt by a build-up of inventory at distributors that led to slow demand for new machines. In March, shares of Compaq slumped to about 24 after it warned that it would only break even in the second quarter due to the inventory build-up. Then in April - when it reported those results - it warned that the second quarter would be flat as well. The company is scheduled to release second-quarter results next week. One positive factor is that aside from Compaq, the other PC makers haven't issued warnings about the quarter, which leaves analysts optimistic that they will meet or beat analysts' earnings estimates. Analysts expect Gateway to earn 43 cents this quarter and Dell, which ends its second quarter in July and will report in mid-August, to earn 46 cents a share, according to a survey by First Call. Shares Of PC Makers -2: Things Appear To Be Turning Around In June, Mr. Niles raised his rating of Compaq to 'buy' from 'long-term attractive,' but held his rating of Dell at 'long term attractive' because of the stock's high price. Dell shares now trade at about 50 times full-year 1998 earnings. Gateway, is at about 28 times 1998 earnings. 'I'm valuation-centric and Dell drives me absolutely nuts with the valuation that they have,' Mr. Niles said. He thinks Compaq's stock will hit $40 in the near term. Todd Bakar, an analyst at Hambrecht & Quist LLC, and Daniel Kunstler, of J.P. Morgan Securities Inc., both agreed that things appeared to be turning around for PC makers. Neither, however, was convinced that business is booming yet. 'We have generally seen business pick up. It's not rip-roaring, but it's definitely picked up,' Mr. Bakar said. Traditionally, the PC business is slow during the summer and he said he will look for a real change in the fall. He has a 'buy' on Compaq and a 'hold' on Dell. Mr. Kunstler has both Dell and Gateway rated 'market performer' based on valuation. He said Gateway seems to have turned its business around, but that the stock has risen so much in recent sessions that most of that good news is already accounted for. "Dow Jones News Service" "Copyright(c) 1998, Dow Jones & Company, Inc."