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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: kemble s. matter who wrote (132435)	6/11/1999 3:18:00 PM
From: TTOSBT	Read Replies (2) \| Respond to of 176387

AOL & DELL may hold the same opportunity according to S&P analysts: personalwealth.com TTOSBT

To: kemble s. matter who wrote (132435)	6/11/1999 5:32:00 PM
From: Frank Ellis Morris	Read Replies (3) \| Respond to of 176387

I think it would be better to SELL AOL to BUY DELL Kimble, I have been ready to choke Michael and read him the riot act but lately I have been hearing good news and reading things that I like. So the stock is not dead after all. I just published my feelings and vision as to what I see coming ahead for AOL and I will post it again here. I agree with you that Dell indeed is a much more sound investment long tern then AOL It has for the most part been my philosophy to buy and hold stocks and not time the market. However, I feel we have a serious fundamental breakdown here not only with rising long term interest rates but with competition mounting for internet service by major contenders. The market is extremely fearful of the one thing that is poison to stock growth and we have not seen interest rates this high since 1997. It was the Fed's three cuts in the lending rate that sparked this internet rally. The rise in the long bond and fear of a rate hike seems to be detrimental to the life of AOL and others. The stock of AOL sports a pe of 211 which is totally unacceptable in this kind of market and every time an analysts states that we need another 10% correction he or she is usually way off the mark. The fall today of AOL below 100 was a critical support break and there is nothing in the near future that I see that will stop the great fall. CMGI is like the mother of internet stocks and its stunning disappointing earnings shortfall yesterday spelled serious trouble today. AOL could be in the 70's or lower in another few weeks. (IMHO) AOL is a very high risk stock to own at this time. Holding on to it may be tantamount to holding on to an empty bag. Yes AOL is not going to go away and we are in the new world of e-commerce but with all the competition sprouting each day AOL is under ominous threat. Assaults will be coming from Dell, Microsoft and IBM in the future. Expect much dumping in the days ahead. Adding more bad news is the following statement from Merrill Lynch yesterday. "America Online was under pressure from negative comments made Thursday by Henry Blodget, Internet analyst at Merrill Lynch. Blodget noted that "international subscriber growth is significantly weaker than expected, perhaps partially as a result of the "free access" movement in the U.K." He didn't change his revenue or earnings per share estimates, adding that "we do not see any major catalysts for AOL's stock until the fall." Heaven help AOL if the CPI report next week does not cheer the street Best Wishes Frank