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

To: Jim McMannis who wrote (46436)	2/1/1999 6:26:00 AM
From: marquis103	Read Replies (3) \| Respond to of 97611

Well. This should be interesting. CNBC just announced they have some news that will "make Compaq shareholders smile." We'll see. News is that Sales of Prosignia have reached over $1,000,000 per day "after only two months" (new model?). One brokerage house (didn't catch the name) says sales of the Prosignia should reach $6,000,000 per day by December. Sorry if incomplete. Just now pouring my morning coffee. Russ

To: Jim McMannis who wrote (46436)	2/1/1999 1:38:00 PM
From: Knighty Tin	Read Replies (2) \| Respond to of 97611

Jim, Let's see. PC unit sales up 15% for the 4th quarter, according to IDC and Dataquest, which includes the stuff. Units up 12% for the year. ASPs down 20-30%. Looks like the 4th quarter in a row of down pc sales to me, any way you cut it, and definitely a major league negative growth year. Sort of like Compaq's eps disaster. 3 horribly down quarters and one faked flat quarter. That's a good reason for a new high in the stock. <G> They don't have businesses worldwide? We have already seen the proof that business pc sales are dead with the IDC and Dataquest numbers. Consumer unit sales were up much higher than the average up number for boxes, so business pc sales have to be lower than the average, as there are only two components to this number. The data lap dog firms have already said workstation and large server revenues grew at a negative rate. PC servers were the only bright spot, up a cheesy 8%, but, as IDC mentioned, mostly due to "IBM overflowing the distribution channel." IDC and Dataquest are useless as predictors, as they were both predicting revenues up 15-17% this year this time last year. BTW, same prediction for the year we are in. What the heck, keep using the same number and some day it may come true. <G> But, as bean counters for the previous year and quarter, they are fairly accurate and sometimes almost too revealing in their releases. Funny, I would think even the bulls would wonder why nobody in the media is mentioning the first negative year in pc sales history. Maybe it's because the touts haven't told them yet. As far as the Dell deal goes, it is not even certain. Alpha doesn't count. You can't make a real server with the creaky old X86 chip architecture. But for pcs, it will be a big blow if and when Dell takes on either AMD or Cyrix. They want to move into sub-1k boxes and AMD and Cyrix offer the best chance of doing that successfully. MB MB