dorine....re: " niles...what are the facts"
please understand that stocks are bought, be it, retail or institutional, for one reason....appreciation. appreciation is a relative term. when the nasdaq is up 50%, and s+p 17%, stocks are viewed in relationship to the overall market performance. dell has underperformed, that is a fact. fundamentals are a basis for stock selection. but because dell "was" the best performing stock of the nineties, doesn't assure that it "is" the stock of the next millenium. all things change, and unless the market views the underlying company as adapting to change (especially in the high tech sector), it will set it aside. if the company has tremendous financials as dell, but is not considered an innovator, it moves from the growth stock arena to the value stock bin. dell is in this mode.
why?
fact: what earthshaking concrete statement has been made by dell, rollins,et al concerning dell future, since niles "discovery" in february? all they speak of is the obvious...pc sales, earnings growth, china, brazil, nashville, ad nauseam.
fact: it is obvious by the poor performance of the stock that "no news is bad news"
consider this, not as a "dell zealot", but the average consumer. dell introduces what they believe is the ultimate web pc. have you been bombarded with advertising? the christmas "dell gazette" mailer, did not include the new product!!!! if the product is claimed to be entry level, how do the "uninformed" get "informed"?
don't point fingers at the "messenger"....go to the source..."michael dell".......he is not above what all hired ceo's do...no room for adulation and cult like faith in investing, it's your money, not his, he takes it off the table, but the belief and the drone like mantra of the thread is "never sell dell"......as chuzz aptly pointed out about the stock options, decreasing earnings...and the insider selling, programmed or not, affects the psychology of the market.
dell a great company....the only way they reward the shareholder is with share appreciation.... |
