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

To: D. Swiss who wrote (147365)	11/12/1999 11:00:00 PM
From: Sonki	Read Replies (1) \| Respond to of 176387

sigh! don't understand why dell is so undervalued for the mngmt it buys. cc was pretty good too. -------------------------------------------------------------------------------- Dell Computer (DELL) Morgan Stanley Dean Witter reiterated its outperform rating on DELL COMPUTER a day after the personal computer maker reported earnings in line with Wall Street expectations. The reiteration comes amid other mostly positive comments from other Wall Street firms. Market opportunities are still huge for Dell although the environment is still uncertain, Morgan Stanley said. Reiterates 2001 earnings estimates of $1.03. Morgan Stnaley said Dell still the best PC-maker and likes the company long-term. (Reuters 09:19 AM ET 11/12/99) -------------------------------------------------------------------------------- Dell Computer (DELL) Bear Stearns said it cut its earnings estimate for next year on DELL COMPUTER, saying the computer maker had a cautious revenue growth outlook following its 3Q report Thursday. Analyst Andy Neff said said Bear Stearns had "lowered our FY2001 estimate from $1.05 to $1.00 due to slightly lowered revenue expectations, reflecting the lower revenue levels." "While the stock might trade down tomorrow on the cautious revenue outlook, we think the company executed well against a number of tough external factors ... and we would be buyers on weakness," Neff said. (Reuters 09:17 AM ET 11/12/99) For the full text story, see full story -------------------------------------------------------------------------------- Dell Computer (DELL) PaineWebber said it cut its 2000 earnings estimate on DELL COMPUTER to $0.73 a share from $0.74, reiterating its neutral investment rating. Dell reported on Thursday 3Q operating profits at $0.18 a share, in line with analysts' expectations, which had been lowered after Dell warned that profit margins would be hurt by a spike in prices for computer memory chips. PaineWebber attributed Dell's woes to more than just computer memory chip prices. "Hardware profitability is under pressure and Dell is unable to offset it despite very favorable mix shifts," PaineWebber said. (Reuters 10:28 AM ET 11/12/99)

To: D. Swiss who wrote (147365)	11/13/1999 2:10:00 PM
From: Chuzzlewit	Read Replies (2) \| Respond to of 176387

Drew, It is a cash cow that is not getting the respect it deserves. Exactly! And that is the point that many analysts miss, because they insist on focusing their attention on earnings. The real story is that Dell is capable of expanding at 40%+ per year utilizing only operating cash flow to fund growth. That is a direct result of two factors: a very low CCC and a very high ROIC. I have yet to see another company with that combination. Maybe the market will catch on next week. Maybe it will take a year. It doesn't matter to me long as these fundamentals remain intact. The only short-term negative I see is how the industry as a whole responds to increasing component costs. If a price war erupts it will be won by the company with the best operating model and/or deepest pockets. Clearly, Dell has the best operating model in the business, and can make money where no other competitor can. I question the probability of a price war because IBM and CPQ are already under tremendous pressure, and I doubt that shareholders would be happy with a period of sustained losses. TTFN, CTC