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

To: rudedog who wrote (33265)	9/22/1998 7:39:00 PM
From: Eddie Kim	Respond to of 97611

Let's talk about in terms of valuation. If DELL doubles, it than has a market cap of 160 billion. Now the question is whether DELL deserves this huge market cap. We all the know the debate...the question is which one is right? Some DELLHEADS think DELL will continue to perform like it has the past five years. Highly unlikely. Dell is a great company, but when are the stock options and buybacks going to catch up with this company. Well, the simple answer is when DELL starts to decline. If CPQ doubles it has a market cap of 100 billion. DELL reminds of the hare, and CPQ reminds of the turtle.

To: rudedog who wrote (33265)	9/22/1998 11:57:00 PM
From: Merlo	Read Replies (2) \| Respond to of 97611

RE: "According to recent IDC data, CPQ is about 4 times Dell's volume in high end products". Also DELL is almost 4 times the price of CPQ in pre split dollars. DELL is around $120.00 pre-split. CPQ stock price is hovering around $30-32. Now due to DELL's accounting practices it would seem DELL is the better stock but is it really? Only time will tell. It seem's to me DELL would also have 4x the risk of CPQ. DELL has a loyal following of fans just like CIEN did when CIEN was at $92.00.