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Politics : Ask Michael Burke

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To: Knighty Tin who wrote (33970)10/15/1998 1:50:00 PM
From: Zach E.  Read Replies (1) of 132070
 
if Dell's stock price does not keep moving forward, neither do its
eps


I'm not sure I understand why this would be the case. I think DELL
is ridiculously overpriced, but what does the stock price have to
do with earnings? I think that I've heard that they sell puts, so
I can imagine that that component of earnings would be hurt with
some bad stock performance, but I wouldn't guess that this is a
major part of EPS.

Zach
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