Dell Rises After Boeing Says No Change in Contract
Round Rock, Texas, June 5 (Bloomberg) -- Dell Computer Corp.
shares rose, reversing an earlier decline, after Boeing Co.
quashed speculation that it had canceled a contract with the largest direct seller of personal computers.
Dell, based in Round Rock, Texas, gained 1/16 to 84 9/16 in late trading of 18.1 million, making it the second-most active stock in U.S. trading after DSC Communications Corp. Earlier, Dell shares dropped to 82 1/8.
Dell shares had declined on speculation that Boeing, the largest maker of commercial aircraft, will begin buying PCs from International Business Machines Corp. rather than Dell, analysts said. Boeing denied the speculation.
There is no change in the Dell contract,'' Boeing spokesman Bob Jorgensen said. ''It is not up for renegotiation.''
Officials at Dell weren't immediately available for comment.
There's not a lot of positive catalysts for the tech sector and if there's rumors about lost contracts, it doesn't take much to push the stock down,'' said Cody Acree, an analyst at Southwest Securities Inc., who has an ''accumulate'' rating on Dell.
16:06:11 06/05/1998
Any redistribution of Bloomberg content, including by framing or similiar means, is expressly prohibited without the prior written consent of Bloomberg L.P. Any reference to the material must be properly attributed to Bloomberg News.
The information herein was obtained from sources which Bloomberg L.P. and its suppliers believe reliable, but they do not guarantee its accuracy. Neither the information, nor any opinion expressed, constitutes a solicitation of the purchase or sale of any securities or commodities.(C) Copyright 1998 Bloomberg L.P. BLOOMBERG, Bloomberg News, Bloomberg Financial Markets, Bloomberg Television, Bloomberg News Radio are trademarks, tradenames and service marks of Bloomberg L.P. |
