Compaq hit by class action

Compaq is being sued by two separate sets of shareholders, claiming the vendor hid a PC sales slowdown earlier this year. The separate suits are both on behalf of investors that bought Compaq stock between January 27 and February 25, according to online news service TechWeb. The suits claim the Houston-based company violated US securities laws by misrepresenting or failing to disclose a slowdown in both demand for and sales of kit earlier this quarter. Thus investors were duped into buying stock at artificially inflated prices, the lawsuits claim. ®