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

To: Meathead who wrote (133585)	6/21/1999 12:06:00 AM
From: OLDTRADER	Respond to of 176387

RE:Meathead-I'm back-Re:CPQ-as I have said ad-nauseum many times before IMHO-- CPQ ,like inflation is dead in our time -it has serious radiation poisoning ----you may proceed with the funeral arrangements.wbm

To: Meathead who wrote (133585)	6/21/1999 9:19:00 AM
From: edamo	Read Replies (2) \| Respond to of 176387

meathead...thanks as always your response you miss the point,if dell had no pc revenues, then dell wouldn't exist.......ibm and hwp could exist if they exited the pc market, as someone would fill the dell gap...an absurd thought, but only to point out the reliance of dell on a single product focus at this point in time, not the future, but "now"........i'm sure you will not disagree with that "fact" i've never said to rush out and buy cpq "today"......look at investing as a business play, which the majority of "investors" don't have a clue about.....you look at special situations created either by the market,news, or the company itself.....dell is now a special situation caused by the market, the pharmaceuticals were special situations a few years back due to hillary and her health care plan. chrysler was a special situation when iaccoca managed a government bailout, ibm with gerstner....on and on and on...... the point is opportunity comes along once in a while, you can't be oblivious to opportunity, or it becomes fleeting, you can't over analyze the "moment".......you have to assume a business posture and ask some basic questions...cpq: what are their problems, what caused them, what could rectify them,do they have any profitable components,and most importantly does a $40b company just evaporate...causing undue harm to local economies that lose a large work force.......i believe as a businessman, that with the "proper management" who is willing to cure what ails them, even if it means a bit more suffering, then you have a tremendous turn around situation....or you can be like many and wait until an analyst discovers that they are healthy....too late by then for the "investor". and if you want to look at the logic of the analysts, then merely view a ninety day chart of ibm,hwp,dell,cpq.........this is their "vision"....not mine.....can't have it both ways... regardless of how obsessed some are with "mikey", their is no room in business for a winner take all mentality, especially when your "success" hinges on the "success of others".......for that is how the dell model functions... today is the "acid test"......does "mikey have the charisma and stated forward vision to change the "market perception" of dell.....he had the forum in barron's......i certainly hope so!

To: Meathead who wrote (133585)	6/22/1999 12:30:00 PM
From: rudedog	Respond to of 176387

meathead - as always, a clear statement of the issues. But although CPQ gets 80% of its revenue from hardware, it does not derive 80% of its revenue from PCs - the number is currently about 40% and dropping. Enterprise hardware accounts for 40% of revenue - a market DELL is just beginning to penetrate. I think the key dynamic here is whether DELL's increasing share of the PC market will be adequate to sustain them without a more significant position in the high end. DELL's high end strategy is good but not great - they have moved slowly to address several key barriers to entry in the high end. It may be that they can "pick the low hanging fruit" in that market, and at the same time increase their share in the classic PC market fast enough to maintain reasonable growth. But edamo's point, which I agree with, is that DELL is much more vulnerable to any slowdown in the PC market, or to a more rapid decline in PC ASPs, than IBM, HP or CPQ. DELL has gotten big enough that their destiny is less in their control and more subject to market forces. I would be happier if their high end strategy came together a little more solidly over the rest of 1999.