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Technology Stocks : Dell Technologies Inc.
DELL 133.78-0.1%Nov 14 9:30 AM EST

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To: Mohan Marette who wrote (131241)6/4/1999 11:01:00 PM
From: Patrick E.McDaniel  Read Replies (5) of 176387
 
Mohan, the Motley Fools compare buying Intel to buying Dell.

Over on the Intel message board, the issue of Intel's current P/E ratio relative to other PC-related stocks has come up. If you are an Intel Dripper and you're not regularly reading the Intel board here at the Fool, you're missing out on something special. The conversation is almost always lively and thought-provoking, and I find the insights given on a daily basis by the chip industry veterans who frequent
the board (including several Intel employees) perpetually illuminating. Best of all, you get the whole she-bang for free.

Public service announcements aside, Intel currently sports a forward P/E of 22. A comparison to direct PC marketer Dell's (Nasdaq: DELL) forward P/E of 45 suggests that maybe something is amiss. Isn't Intel
going to benefit from the growth of the PC industry just as much as Dell and the other boxmakers? Is this apparent valuation discrepancy justified? Or is Intel simply being left out of the "tech stock" bloated valuation hoopla -- a trait of today's market that is harped on over and over by the press like some never-ending Gregorian chant?

fool.com

Pat
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