This morning Dell actually held up better than the NASDAQ, probably due to those upgrade comments by one of the houses, don't remember which, it might have been Credit Suisse. On the other hand, Bear Stearns lowered Dell's 2006 estimate from $1.60 to $1.55, and IDC predicted slower growth in the PC market this year, 9.7% vs 15% in 2004. My best guess for next week is that the market will try to stabilize and rally a bit, simply because of the magnitude of the decline over the past few weeks. Since AAPL has moved from 13 to 90 over the past two years, my radar says it may be much more volatile than Dell. Question marks with AAPL are whether they can capitalize on lousy Windows security and IPOD sales, turning it into better PC market share. Just as important IMO is how they will handle the coming cellphone/mp3 devices... If this slowdown is for real and not typical market hysteria, well, we all might get Dell at an even better price. I'm starting to get interested....
Best regards,
John
PS - Other thing with AAPL is - will Sony ever get their act together in this market, they had the original smash hit with the Walkman, completely blew it with digital music, and now have a new CEO. They have a formidable brand, so it will be interesting to watch how things unfold. |
