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

To: rupert1 who wrote (50093)	2/26/1999 4:15:00 PM
From: Roads End	Respond to of 97611

victor...New all time high volume traded for CPQ -- 74.4 million. Steve

To: rupert1 who wrote (50093)	2/26/1999 4:19:00 PM
From: Jimbo Cobb	Respond to of 97611

having bought CPQ today at $35 1/4 I out-traded you, victor...I'm in at $35 even just like I told Sir Nit-Pick I would do weeks ago !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! YES !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! GO CPQ !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! I LOVE THIS STOCK !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! CPQ KICKS BUTT !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! jajajajajajajaja Jimbo.

To: rupert1 who wrote (50093)	2/26/1999 4:22:00 PM
From: Aitch	Read Replies (1) \| Respond to of 97611

victor, Here are ML intraday comments: CPQ: Intra-Day Special Calls 09:26am EST 26-Feb-99 Merrill Lynch (Steve Milunovich) Lowering Dec99E from $1.80 to $1.75 2000E $2.25 o We are lowering our 99 1Q revenue forecast from $10.1bil to slightly north of $9.8bil and EPS estimate from $0.35 to $0.30 after the company indicated the quarter may come in a bit light. Our full year EPS estimate is lowered from $1.80 to $1.75. o CPQ stated that small and medium size business, which constitutes 40% of revenues, was weak in Jan and the first few weeks of Feb. High end corporate business is performing well. o CPQ expects small and medium business to strengthen later in the year as companies upgrade for Y2K. The company feels it is an industry issue. o We believe channel inventory remains three to four weeks. o We maintain our intermediate term Neutral, long term Buy rating on CPQ shares.

To: rupert1 who wrote (50093)	2/26/1999 4:30:00 PM
From: Aitch	Read Replies (2) \| Respond to of 97611

victor, some more data... (and I'm off to bed) CPQ: Lowering Rating to Market Perform from Buy 12:29pm EST 26-Feb-99 DLJ Securities (Kevin A. McCarthy) COMPAQ COMPUTER CORP. (CPQ: $41) # Lowering Rating to Market Perform from Buy Range: Earnings Per Share 1999 vs 1998 % Chg 51-23 Old New P/E Ratios F1Q $.30 vs .01 +2900% (FY:Dec.) 2000E $ 2.30$ 2.25 18.2 F2Q .38 vs .02 +1800% 1999E 1.85 1.75 23.4 F3Q .39 vs .07 +457% 1998A .47 87.2 F4Q .68 vs .38 +79% RATING: Market Perf. Change: Down From Buy 12-Mo. Target: $45 VIEWPOINT We are lowering our rating on Compaq to Market Perform from Buy. Weakness in the small and medium business segments combined with Latin America hedging losses lead us to lower our earnings estimates for the quarter and year. We are lowering our FY1999 and FY2000 earnings estimates to $1.75 and $2.25 from $1.85 and $2.30 respectively. Our Q199 EPS is reduced to $0.30 from $0.35 on $9.6 billion in revenue (down from $10.1 billion) and 3.35 million units (down from 3.6 million). Our new price target of $45 (down from $60) assumes 20x our FY200 estimate of $2.25. We believe there are a growing number of data points (channel sales weakness, increasing price pressures, component order softness) which indicates that the March quarter for the industry is tracking at or below plan. A strong pick-up in PC sales in March is needed for Compaq and other PC suppliers to make current quarter estimates. The trend points to continued sluggishness and EPS preannouncements in the first two weeks of March are more likely, in our opinion. CPQ's stock will probably move sideways around current levels until greater visibility is gained concerning the pace of sales in the month of March.