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Strategies & Market Trends : Bill Wexler's Profits of DOOM -- Ignore unavailable to you. Want to Upgrade?

To: Shtirlitz who wrote (3849)	11/25/1998 9:36:00 PM
From: Bill Wexler	Read Replies (3) \| Respond to of 4634

I have talked to IR, and several GMs. CompUSA already derives significant revenues from e-commerce. Interestingly, what CompUSA does on its web site probably dwarfs stuff like egghead.com and cyberian. My understanding is that CPU is going to be making significant strategic initiatives into more e-tail. Note that all the stores are now emphasizing "internet" sections and the www.compusa.com url is plastered all over the place. Furthermore, the company now offers several inernet related topics as part of its training curriculum. CPU also recently announced a a partnership with Earthlink and another store-within-a-store deal with IBM - mostly targeted towards small businesses, so I believe they'll be pushing a lot of IBM e-commerce solutions. I don't think you should hold your breath waiting for a lot of fluff press releases about how the web site was redesigned in order to pump the stock up 20 points in 5 minutes. I think that in its own quiet way, CPU will eventually be a big winner in the e-tail and e-commerce game. I also of the opinion that a patient investor will make a far greater return with a far greater margin of safety in CPU by buying and holding it over the next year or two than gambling on an internet momentum stock. I maintain my strong buy recommendation on CPU and I firmly believe that it will eventually trade north of $50 a share.