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

To: Loki who wrote (56864)	4/10/1999 9:47:00 PM
From: Logistics	Respond to of 97611

Regarding sector rotation from boxmakers to inet stocks:: An AOL excerpt from the following: BANCBOSTON ROBERTSON STEPHENS Keith E. Benjamin, CFA April 11, 1999 AOL COULD BUY ANYTHING BUT HAS SHOWN STRATEGIC DISCRIMINATION, IN OUR VIEW – AOL is the model for the proposed USA Lycos Network and Yahoo! Its $180 billion valuation clearly reflects an appreciation of that position. We are evolving our thinking regarding AOL's options, given the power of its valuation. We would be surprised if it bought a media company like CBS with a less attractive set of growth opportunities when it would seem easy to set up ownership of a joint venture in something like CBS.com, which would allow AOL access to more content suitable for a broadband world without the baggage. We keep wondering about the power of its brand and financial muscle. With all the concern about competition from @Home and cable companies, we note the market capitalization of @Home with Excite is now approximately $30 billion and the market capitalization of the new AT&T/TCI is approximately $200 billion. We suspect we are not thinking broadly enough about AOL's growth paths and potential acquisition targets. It is barely starting to build business services, even after the closing of the Netscape deal. While the math challenge is large, we still expect the company will continue to grow into a surprisingly large valuation. We expect another record quarter in March, with upside to all forward estimates. ------ Previous

To: Loki who wrote (56864)	4/10/1999 9:58:00 PM
From: Leo Francis	Read Replies (1) \| Respond to of 97611

ALL, I think I may finally sell my remaining CPQ holdings, even though the TAX man will be very happy. This is the first time in recent years, that CPQ management has missed by this magnitude. I am also worried about the timing. Very late in the Q for CPQ to issue a warning. I think CPQ's next move will be cost cutting which could buoy the stock, but hurt morale and execution of business plans. CPQ could visit the teens, and then a slow rebound. I have rode CPQ for over 10 years. DELL may be the place for a PC sector investment. I have owned DELL also for many years, albeit a smaller initial investment, but it appears to me, the street may in fact reward DELL more quickly after any correction. On the positive side however, CPQ remains a profitable company, and will continue to grow. The growth though will be slower. But I fear Wall Street may punish CPQ for the next few Q's. JMO, LF