SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Dell Technologies Inc.
DELL 122.70+0.2%Nov 18 3:59 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: stock bull who wrote (56801)8/6/1998 5:57:00 PM
From: Chuzzlewit  Read Replies (1) of 176387
 
Stock Bull, the problem with the inventory in a manufacturer like Compaq is that first, raw materials are bought in bulk and inventoried. Frequently companies will order large amounts of inventory and then accept delivery as scheduled releases. They may not counting inventory that has been purchased but not delivered as part of inventory. A second problem is that their sales are into a channel. Remember the results of channel stuffing for the past few quarters? If Compaq is not counting channel inventory as part of its own that could be a potential problem, depending on the arrangements they make with resellers.

The problem with ASP and analysts is that not a single one that I've seen has discussed pricing in the light of profit maximization and elasticity of demand. The problem goes further than that. Many of these people use heuristics as a substitute for thought. How often have you heard them invoke DSOs to suggest back end loading and support these claims up with meaningful data? These so-called analysts fall into two camps for the most part: free media for the businesses they cover, and catalysts for churning on behalf of the brokerages they work for. Very few are independent. An example of an independent source is Value Line.

TTFN,
CTC
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News