To All: Has anyone heard MD (before this past week) state that the target for Dell (growth) is 50%? In the past, I have heard terms such as "at a multiple of the market", "faster than the market"...
Now, if MD is talking revs here (and I will try to find out if he means units, revs, earnings, or EPS growth...)..If he means revs, this is a very bullish statement, IMO...
I think we can assume that he would not casually mention "50%"....unless it is (extremely) acheivable...
Let me list one example: Last spring (in Feb.), I read an article where Mort T., while on a trip in Asia, predicted that Dell would hit 17.5 billion in revs this year (representing 42% growth)...guess what...we are on target for 18.5 this year (or more)...(representing 50% growth or more)...
Again, I don't think MD would casually throw out this figure....
If Dell achieves 50% revs growth, with the greater emphasis on higher margin- enterprise sales, continued rapid growth of internet sales....
it would be logical to assume that earnings, EPS would accerlerate at a greater rate (than 50%+)....That's pretty darn good...
This is more bullish than what John Chambers at Cisco is willing to put out ("growth of 30-50% in healthy economies, less in economies that are not doing so well")..
Also, MD's 3 year (annual) growth forecast for the industry is now 17% (no longer using the 15% figure)..... |
