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Technology Stocks : Dell Technologies Inc.
DELL 126.59+0.1%Dec 22 3:59 PM EST

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To: BGR who wrote (80154)11/13/1998 10:51:00 PM
From: Moominoid  Read Replies (2) of 176387
 
In any case, I happily will take yearly 50-55% growth.

If DELL can keep up that profit growth for a long time then it maybe fairly valued now. So I agree with you. I was just questioning TigerPaw's math that ended up with a 200% stockprice growth off 50% earnings growth.

I'd doubt that DELL can keep up 50%+ growth for a long enough period to justify the P/E. Even if the growth rate declines smoothly and slowly to a lower rate you'll see the stockprice stagnate rather than grow at that lower rate in the transition period.

But the latter is just a matter of opinion which is why I said 50% was an upper limit on the stockprice growth rate.

David
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