I'm not sure that I've ever referred to Dell as "pond scum"
Earlie, sorry about that. I left off a <g>, and only meant to imply an idea, not insinuate an actual quote (guess I shouldn't have quoted either <g>). In any event, I apologize.
I still think the "direct" model is nutty
Really? In what way? I am of the firm belief that anyone left standing will be direct in a few years. The distributors model seems nutty to me.
Dell does have some problems. Everybody is now selling direct, there is a full blown glut, pricing is in free fall, and margins are being squeezed and inventory levels are beyond description.
I know its your assertion that everyone must lose (at least in terms of share price declines), and that no one will be left standing. I simply believe DELL will come in for more of a soft landing over the next few quarters, with little price appeciation, as earnings play catch up to growth rate, which I am not as negative on as you, obviously. After this period the company settles into a more reasonablle stock growth period, which is fine with me.
My own "tracker" for Dell is showing slowing sales growth, and this appears to be accelerating mildly.
Isn't this a little more measured than previous statements about slowing growth at DELL? I seem to recall much more negativity from you, but I could have you confused with......well, everyone else on this thread <g>.
Mike Dell has been very subdued in his recent comments, compared to the past. He has also stated that his company will give up margins to maintain market share.
Growth is slowing, no question. I wouldn't expect him to do anything than be forthright. I think this quarter will tell us much more about market share and margins (gee, now that's original).
Gary
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