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Technology Stocks : Dell Technologies Inc.
DELL 140.82+1.4%11:28 AM EST

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To: Sabrejet who wrote (32485)3/6/1998 11:23:00 AM
From: Jim Patterson  Read Replies (3) of 176387
 
re: <<You sound a bit frustrated! The fact is, the people on this thread are quite educated in what they are investing in.>>>>

I think what Joe is driving at here is not that the folks on this thread don't know what they are investing in, it is that they don't know investing.

Believe it or not, Long, long ago ect.. Book value was a key investment criteria. Very few stocks traded above BV. As a matter of fact, as BV relates to the market now.
S&P 500 is @ ~ 5 times BV
here are some years and BV for the S&P and you can see that for the S&P, BV used to have a range of about 1 to 2.1 then it seemed to matter no more.

1932 .4 Bottom
1937 2.1 top
1942 .8 bottom
1961 2.1 top
1966 2.1 short top
1968 2.2 top
1974 1.0 big time bottom
1978 1.1 bottom
1982 1.0 bottom
1987 2.5 I think we remember this one
1998 5.0 Which one of these is not like the others ?

My point here is not that DELL is good or bad, only that from a historical standpoint, It's 42 x BV is a little outragious. If this post bothers anyone, I am not trying to spread fear. I am only pointing out 66 years of history

Jim
PS 1929, I don't have the exact number, so I will offer a guess of 2.5
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