Donnie, I am with you on all of your thoughts except that I don't see Dell going below 40 (if it does, IMO it will be a VERY quick buying opp)...this is simple arithmetic at work here I think: PC industry sales are looking better than previously expected, especially considering that it is Q1...CPQ, IBM and HP are not benefiting from this, and DELL is saying that all is "firing" away with their business. They admit that they know what they did wrong last Q and the fix is elementary (not like CPQ's mess of all messes)...so I think most people will be smart enough to hold their DELL shares through the CPQ "correction" catalyst, and probably buy more DELL into earnings, and after earnings (though by then it will be much more expensive since it will gap up 10+ after a positive earnings report IMO)...
re: overall correction, I just don't see it happening for more than a few days here or there, unless earnings don't come in positively ... so far it is just CPQ and AMD...and most investors already knew that these co's lack leadership to change with the times...no need to go into that IMO. Yes, I think many will take some profits if the mkt looks like it is softening, but not for long...afterall, where else would they put their $$$? Unless I am missing something, I haven't found a better place for mine.
I'm with you though...BUYING BIG on any significant pullback, including buying more DELL (I have a bit less than you :)!)
Hope your day with the munchkin was fun. I am still painting Easter eggs, it was so much fun! Cheers, GRANOLA |
