Kemble, I expect to see an influx of a different type of investor in DELL. I'm sure that we're already seeing it, actually. This is the type of investor that sees DELL as an earnings value play. Earnings growth will remain important, too, but primarily, the appeal of DELL as a cash flow powerhouse will draw in investors that have never considered owning DELL before. This is what has brought me back, personally.
We have moved from a momentum driven stock to more of a quality technology play. This transition has not been as painful for many of DELL's contemporaries, but they were never at the heights that DELL was at, either. (As a side note, I think that CSCO will face the same turbulent times in its stock as it approaches perfection. And, then afterwards, it too will readjust. I'm sure that some people will disagree with what I have said here, and that is their right.)
For me, my focus is on solid return going forward with a reasonable amount of risk. I've (we've) hit the grand slam that many investors only dream of hitting. I don't need to do that again. The key now is to build upon that wealth without losing any ground. I have a few investments that have the potential to produce stellar returns, but I'm not betting the farm on speculative plays.
Just my thoughts at the moment...
Best,
LoF |
