Rossignol,
Nightly Business News said some analyst (did not catch the name) projected Dell at $150. Shorting is not a bright future right now. I also don't think it is a good time to try and jump on a speeding Dell train. If I was on the train, I would hang on until it slowed down, and then jump off fast with everything I owned. Compaq is the definite stock of the future. Dell is the definite short of the future if it gets to 150. If it gets to 150 and buys General Data, I might sell it short.
Yes, I think the ROIC numbers for Dell look great compared to Compaq right now. Yes, the boys love their ratios. They sit and stare at the numbers like fortune tellers reading tea leaves, and forget to see and hear what is really going on in the world. The Smith Barney analyst forgot numbers are about history, buying stock is about the future. He read the high inventory in last quarter's numbers, and did not call channel members for a read on the present situation. Too bad. Gives us a great buying opportunity.
NW |
