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Technology Stocks : Dell Technologies Inc.
DELL 140.63+1.7%Dec 10 3:59 PM EST

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To: Chuzzlewit who wrote (59373)8/19/1998 1:49:00 PM
From: jhg_in_kc  Read Replies (1) of 176387
 
Chuzz,
this may be one of your best posts ever. The key to Dell's growth is its outperformance of the industry. And we ask ourselves how long can Dell keep this up.

Re: 0.1*(1.45)^n = (1.15)^n

where .1 = Dell's market share
45% = Dell's annual growth
15% = the market's annual growth

Solving for n (where n is the number of years), and given these assumptions the answer is approximately 10 years.

DOes this mean (indicate) that Dell can continue to grow at 45% for ten years. Or that its rate of growth will decline from 45% to l5% over the ten year period? Or does it imply neither one of these things but something else? What can we infer about Dell's growth rate for the next ten years from the formula?

Forgive me if this makes little sense
I am a poor mathematician. I possess verbal skills though; however, they are not feline skills, just ordinary human ones.
jhg
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