MB and gang;
This one has been interesting. Just for fun, I posted a short note to a pal over on the MU thread before the market closed, that if the revenue number came in UNDER Nile's number, there would be much damage.
50 times book strikes again. A short while ago, Dell was well over $100., now it appears to be trading at under $80. It looks like a 25% pasting to one of the five top tech darlings over a two week period. This is going to smack the whole tech sector hard tomorrow (or tonight for that matter). The key, as noted earlier was in the revenues. Niles, who came in uncannily close on the actual number (anyone still want to argue my premise as to how Mr. Tech Bull ended up so accurate, at the last moment and right out of the blue?) provided the first arrow in the gut, and with the actual rev number a touch below that, "fire one".
That Dell knows he's got a problem is evident in the ultra cheapo 2 for 1 stock split. It will backfire this time. A negative, not a positive.
Revenue growth simply not there to support the PE or the 50 T.B.
Body bag time on the Dell thread. I actually feel very sorry for some of those people. Imagine having bought this at $108 scant days ago.
More as we dig.
Best, Earlie |
