Hi Dave,
Have started following this thread. Dell is a great marketing company, however, I believe the stock price is way too pricey... pe 52 last yr, pe 36 next year's estimate. Very unlikely that with global slow down, Compaq's pricing lower, $1000 pc trend...the high pe can hold. I was long in Dell, however, shorted yesterday at $65. Didn't pick a good day to short (just after a $6 decline day before), however after today's close, may not be too bad. I think it is going to be a volatile ride, but prepared to hang on. I suspect because of the lower earnings environment on pc sales, it'll be difficult for even a great company like Dell to maintain its tremendous growth rate of past years. Do you do day trade, or hang on a short for a longer ride?
D. |
