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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: paul_philp who wrote (52116)7/15/2002 11:24:32 PM
From: stockman_scott  Read Replies (1) of 54805
 
RESEARCH ALERT-Merrill says Dell only tech growth stock

NEW YORK, July 15 (Reuters) - Merrill Lynch's top equity strategist on Monday said that, with the exception of Dell (NasdaqNM:DELL - News), the tech sector was a sell, and investors should sell the sector into strength at every opportunity.

Merrill Lynch said that Dell's announcement last week that it would beat its own guidance for second-quarter earnings gave a lift to the technology sector, but that Dell's growth may be coming at the expense of competitors.

"Our view remains that investors should sell technology shares into strength at every opportunity, and re-deploy those assets over other sectors. However, Dell might be an exception to our strategy," Merrill Lynch chief U.S. strategist Richard Bernstein wrote in a research note.

"Dell appears to be a true 'growth company' within a sector of faux 'growth stocks,"' he said.

Dell shares were up 7 cents at $25.10, from its Nasdaq closing price on Friday, after opening lower.

biz.yahoo.com
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