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

To: kemble s. matter who wrote (153221)	2/8/2000 11:15:00 AM
From: Dorine Essey	Read Replies (1) \| Respond to of 176387

Good Morning Kemble, I am still a believer in DELL. I see a very bright future and this Analyst that downgraded DELL just didn't do his homework and the advantage he got was to make it possable for them to buy more DELL before it hit the roof. Dorine

To: kemble s. matter who wrote (153221)	2/8/2000 11:23:00 AM
From: Dorine Essey	Read Replies (2) \| Respond to of 176387

Hi Kemble, thomsoninvest.net check this out, there is BUYING BUYING BUYING!!!!! Dorine

To: kemble s. matter who wrote (153221)	2/8/2000 11:34:00 AM
From: D.J.Smyth	Read Replies (4) \| Respond to of 176387

Kemble, consider Warberg's comment, "As it captures an increasing share of the personal computer market, we believe Dell's growth rate must continue to slow. Against a headwind of slowing growth, Dell's shares are unlikely to outperform" a) "...captures an increasing share of the pc market...". this means that they believe Dell will indeed continue to capture a larger share. IDC has stated that PC growth for this year will average around 17%. So, Dell is capturing an ever increasing share in an ever increasing market. We can configure Dell's growth rate at 30% for the capitalized markets, yet still performing at 50% growth rate in the under capitalized markets, or "new growth" areas. An "underperform" would imply an ever increasing share in a decreasing or flat market. Their comments are completely illogical. b) "...we believe Dell's growth rate must continue to slow..." Slow from what? 50% to 30% is "slow"? How many businesses are growing at 30% per year? Do they mean slow from 50% to 30% to 20%? In other words, the PC world is growing at 17% in 2000. Dell's growth is expected to grow the same as the PC world even though over 1/2 of Dell's growth is coming from the undercapitalized markets which are growing at rates of 50% to 100%? This would imply a slowing of the PC in capitalized markets from 17% to around 11% (do your own math) which is a bad assumption on Warberg's part. Of course, Warberg is concentrating on the PC business; which implies that Dell is incapable of moving strongly into other areas of e-commerce - or they give Dell absolutely no benefit of the doubt that they will perform such. Even if Dell's rate did slow to 20% by 2001, that would imply revenue of $42 billion and earnings of $1.4 They obviously believe that in a booming internet economy, the companies that will supply the "engines" to that economy should not be valued at more than 25X next year's earnings. Why even comment if you can't present your case as backed by data and not just philosophy..."against a headwind of slowing growth (which is not defined)...Dell will not perform."