If the step by step confirmation doesn't help, I'd try removing one piece of hardware at a time until you are left with a harddrive, video and a motherboard. It sounds like Windows is hanging while detecting the PC's hardware. My biggest hunch would be the Sound card and Network card for causing trouble. Compaq, in my eyes, is notorious for having hardware that only works with their drivers. If removing them works, and you are able to successfully boot Windows in Normal mode, get the drivers for the offending hardware first..install it...shut down...re-install the hardware..then boot again and see if Windows runs through the hardware detection smoother. Let me know how it works out.
Dan