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

To: Venkie who wrote (155783)	3/31/2000 7:25:00 AM
From: Sig	Read Replies (2) \| Respond to of 176387

Donnie: Digesting the concepts in this article explains how Dell is going to 'beat the numbers' and become what Kemble can evision. By meeting the endless demand for fast, reliable, easy computing with same-day service.( The next step after providing the world with basic P/C's and a web infrastructure ie, servers and storage) biz.yahoo.com <<<<`Our focus is on things that enable Internet infrastructure. We can't do everything and this gives the ability to have a broad reach,' Dell said, noting that his company received about 1,000 business plans a week from hopeful capital seekers>>> The stock value of companies in this business can grow at 10X/year, an IPO at 5X in one day, an established firm 2X in one year- but assume a 50% return on Dell investments on average: With 750 mm invested, an unrealized return of $375 mm this year, and with $1.5 bil invested by next year a return of $750 mm. With earnings growth of basic Dell at 30%/yr, earnings would reach $2.77 bil/year after 2 years. But adding these external investment activities( not to mention Gigabuys and others), the return would be $3.90 bil. Chuzz knows the value of this kind of ROIC. HOWEVER, the extra return does not show up on the books each quarter in pennies + or -, excepting when Dell equipment is used by these companies. All that is required is faith( in the Dell model- which is interesting in that it changes to stay ahead of the game(G), and patience. There are big times ahead for Dell. There is no-way, no way Charlie, that any Dell executive is thinking or planning a chintsy 30% growth rate. ........ I just hope Abby is sorry what she done to us. Sig