Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Christopher who wrote (48512)	2/17/1999 9:03:00 AM
From: Lynn	Read Replies (1) \| Respond to of 97611

When CPQ initiated paying a dividend, I could not see the point in doing this because in my view, the dividend was so measly (.015 due to the last split), it would cost CPQ more just paying the dividend to small investors that it was worth. Then NW, Rudedog, and a few others informed me that a number of institutional investors can only buy dividend paying stocks for their portfolios and that by paying any dividend, no matter how small, CPQ was making itself available to a wider range of institutions. With this as background, has not CPQ had at an institutional advantage over DELL ever since it started paying that dividend? Going with this, do you see some of the increase in institutional buying of CPQ since last July as buying by funds that could not purchase CPQ in the past [pre dividend] but could then, at a time they were periodically reviewing their holdings? With this, the idea is that some fund would be adding CPQ after comparing it with other dividend paying stocks rather than the likes of DELL [no dividend, box maker]. Lynn