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

To: kaka who wrote (160799)	9/18/2000 5:36:13 PM
From: D.J.Smyth	Read Replies (2) \| Respond to of 176388

kaka, that's a reasonable assumption. probably an odd sounding thing to tell the street..."commodity" is such a beloved word but, Dell has built a $30 billion annualized business selling "commodities" Dell's Model, however, can not be "commoditized"; though others are trying Dell's "Model" is more than just selling direct. it involves marketing, design, product implementation, product agreements, employee training...etc. Dell was among the first to employ ITWO's methods. they're always on the look for moving beyond the edge. thus, Dell's "giveaway" program shouldn't be viewed as your typical Micron desparation shuffle. it should be viewed as another means of "stock buyback", or use of capital. probably, instead of buying all the stock they normally buy back, they're using the capital in a move to capture additional market share. call it stupid. "someone" (MD) seems to think they're doing the right thing.

To: kaka who wrote (160799)	9/18/2000 7:08:06 PM
From: Sr K	Read Replies (1) \| Respond to of 176388

More possible reasons: From the 9/18 IBD article: Lambert: The concept of commoditization works to our benefit, because we know how to make money in a low-margin business. Investors don't think of 20% to 21.9% margins as a commodity business. So to some, "commodity business" sounds like lower margins. Also, in this day of slaughter, EMC was up all day.

To: kaka who wrote (160799)	9/19/2000 4:15:57 AM
From: Mick Mørmøny	Respond to of 176388

Kaka: Re: The reason why dumb dooody dell dumping down is:... This is it, Kaka. Garlic is dead $. In case you need votive candles for your gold or platinum statue, try fibers. A lot of fibers are good for your diet, e.g., NT, JDSU, SDLI, CIEN, and GLW. For storage, try EMC & NTAP. This is not a recommendation, but do your own DD. They are priced for perfection. Mick $$$ ________________________________________ More Insiders Sell Big Blocks of Stock By: David Henry 9/18/00 10:18:32 AM Source: USA Today Surge May Foretell Market Weakness in 3 to 12 Months NEW YORK -- Corporate insiders have been selling record amounts of stock through most of 2000. The sales have made it harder for the stock market to rise, by adding to the supply of shares in the public's hands. They've also added a cloud of doubt over the market in coming months, suggesting that at least some insiders have concluded future business prospects might not continue to support their stock prices. Most of the sales are thought to be the result of increased use of stock options by tech companies to pay executives. The executives have been cashing some of those options, transferring the risk of ownership to investors. Big block sales of at least $1 million or 100,000 shares totaled $47.1 billion through August. That's 20% more than the $39 billion for all of 1999, says Eric Bjorgen of the Leuthold Group. This time last year, only $25.7 billion had been sold. Even adjusted for the rise in stock prices, the selling has been unusually high since March, with rolling 10-week totals ranging from 0.7% to 1.8% of total stock market value. ''When selling reaches historical extremes, it is wise for investors to use a little more caution in their own investing,'' says Bjorgen, looking over 17 years of data. Surges in selling do not necessarily forecast sharp market drops but tend to foreshadow weakness three to 12 months later, he says. Bjorgen sees a source of continued selling: insiders who got stock during the flood of initial public offerings early this year when the market was climbing. Insiders are usually required to hold their IPO shares for a set period of time. Those time restrictions are expiring. Lon Gerber, research director at Insiderscores.com, thinks some insiders are selling because they can. More options are vesting every day, and when stock prices are up, more of them have value. He suspects some insiders put in sell orders when the tech-choked Nasdaq started recovering in the summer from its spring plunge. In July, insiders sold 22 times as much stock as they bought, compared with the typical ratio of 10 times as much. The highest ratio of insider selling to buying was 23 in February when $9.8 billion of stock was sold just weeks before the Nasdaq peaked above 5000. Among the big sellers this year and how much they raised, according to Insiderscores.com: * Paul Allen, co-founder of Microsoft, $6.5 billion. * Michael Dell, founder of Dell Computer, $959 million. * Ted Waitt, founder of Gateway, $482 million. * Henry Nicholas, co-founder of Broadcom, $453 million. Gerber says those sales probably reveal nothing about an insider's opinion of a company's prospects or stock. Many top tech executives sell shares on regular schedules to diversify their wealth and fund charities. Insiderscores.com says that in the past, sales by all four men were generally followed by gains in their companies' stock prices six months later. ''A lot of insiders are doing nothing more than cashing in on some of their good fortune,'' Bjorgen says. But now that the market is no longer going steadily upward, much less booking the 86% gain scored by Nasdaq in 1999, investors may start having second thoughts about supplying the cash that the insiders are getting for their stock. cnetinvestor.com.