Wow!!!
talk about a response.
John,
>>> In March/April/May, you loved to response to (us) Dell bulls with the argument that the rest of the computer manufacturers were having inventory problems; there was a glut of unsold computers; Sub-1000 market segment growing rapidly (and Dell had no entry); and ASP's were falling fast......In your words, "Is Dell immune"? to the these problems......<<<
Well, ASP's are falling at DELL. I guess that DELL is not immune to that.
CPQ claims profitabality in the sub-z,
DELL says they can't make $$ in sub-Z. Go figure.
DELL may have actually benifited from the glut of inventory in a way that I did not expect. Since CPQ has been building PCs so slowly, component prices may have fallen faster than they would have otherwise, a benifit for DELL.
DELL's last quarter was not Excelent.
This is one point that no one here gets.
THEY MISSED THE WHISPER NUMBER !!!
FOR THE FIRST TIME EVER !!!
Now the stock has run expecting that that can never happen again.
Did you see what happened to the stock when DELL said they may not be able to maintain ASP's ? 117 to 110 in about 3 hours or so.
I was long at the time, sold @ 113 then shorted @ 110.
BTW, the stock is not trading that great, in this decline.
yesterdays run is only because DELL is such a large component of the NASDAQ and S&P, and index fund buy there to get exposure.
I think the jig is up once again.
This time, not just DELL, but the whole MKT.
I was wrong on DELL's stock in Jan Feb March Apr may, Went long in June, and went short Last week in July.
I was right that DELL would disapoint in their May report. Though the stock did not react strongly to it, It was bought anyway.
Now here we are today.
The stock trades like dirt since last Tuesday.
I would have been a buyer monday like everyone else but I was not here. Today I added to my short @ 113.
I am confident that I will exit my positions if they start to move againse me. until then, I am in the win column.
Jim |
