Jeff<<I agree with the DELL Bear case. It is rather difficult to ever short the exact top, but I think short term (6-9 months time frame) DELL has "peaked". The common stock is up from $79 3/8 on January 12th. That is a 76% move since that time based on yesterday's close of $139 7/8.>>
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Actually, the stock had been as high as 102 in early Oct 97,so its only trading 37% higher in 6 months (it all depends on how you look at it). And whenever I hear a bear say, it can't keep sustaining this. I say 2 things. 1. It moved (pre-split)from a low of 99 on May 31, 1997 (day Intel warned) to 170 on July 25. 2.People said it was over valued then, and couldn't sustain it, well here we are at a (pre-split) level of 280(139 7/8 x 2), and they are saying the same thing. Well, until it turns, it'll run, this will be the 3rd split for me (in just over 18 months), and the fundementals look good for the next year out (at a minimum), lots of market share left to get, especially in the profitable server sector, and emerging markets. At some point, it'll slow, granted. I'm betting it won't be for at least a few more years, and a few more splits.
Dave |
