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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: Dealer who wrote (5934)	10/5/2000 2:48:03 PM
From: DepyDog	Respond to of 65232

Dealie, ah just would be happy to have RAIN to get undah the Porch for...mighty bad heah. Our main water supply is down 67%.<Depy, lookin at fishy Pond, lickin chops. May have to have a few laps.> ;-) Depsterdippin

To: Dealer who wrote (5934)	10/5/2000 2:58:58 PM
From: Dealer	Respond to of 65232

INTC--Dell Stock Hits 2-Year Low After Sales Warning By Nicole Volpe NEW YORK (Reuters) - Shares of Dell Computer Corp. (NasdaqNM:DELL - news) on Thursday fell to their lowest point since October 1998, pulling the rest of the computer maker sector with it, a day after the company warned that sales could miss its target growth rate of 30 percent this year. Shares of Dell, the world's No. 2 personal computer maker, fell $2-7/16, or more than 8 percent, to $25-3/4, in heavy trade that topped the Nasdaq most active list. Several analysts lowered full-year earnings per share estimates for Dell, after the Round Rock, Texas-based company warned of weakness in Europe, and small business and government sectors. Dell said late on Wednesday that if softness persists into the fourth quarter, full-year revenue would be about $32 billion, an increase of about $7 billion, or 27 percent, over fiscal 2000. The company previously expected 30 percent sales growth for the full year. The warning called into question the outlooks issued by other computer makers. Signs of slower personal computer sales growth, and warnings from Apple Computer Inc. (NasdaqNM:AAPL - news) and chip giant Intel Corp. (NasdaqNM:INTC - news) citing Europe, spelled trouble for other computer makers with similar exposure to those markets. HP and IBM in fact were dragging the Dow lower by about 56 points by early afternoon, when the Dow Jones Industrial average was off by 44. Compaq Computer Corp. (NYSE:CPQ - news), the world's largest computer maker and printer and computer company Hewlett-Packard Co. (NYSE:HWP - news) both derive about one-third of their sales from Europe. Compaq was off $2.71, or more than 9 percent, to $26.13 in heavy trade on the New York Stock Exchange (news - web sites), while HP was of $6-3/4 to $88-3/4. Compaq and HP both made statements about two weeks ago reassuring investors their business was on track. But so did Dell, making investors wonder if anyone was now safe. ``The thing with Dell that made it disturbing to hear this announcement, was that they had said they were on track the same day that HP said they were OK, too,'' said Anne Bui, PC analyst with International Data Corp. Dell officials told analysts on Wednesday that the third quarter in Europe is difficult to call in September because business usually doesn't pick up until October. ``We usually see (the usual) ramping through September and October,'' said Vice Chairman Jim Vadnerslice. ``In the last week or two we did not see the demand pick up as much as expected, so we are telling you where we see this right now.'' International Business Machines Corp. (NYSE:IBM - news) was also seen to be at risk, with 30 percent of sales coming from Europe. Its shares were off $2-3/8 to 112-1/4 -- at about the middle of a recent trading range of between 100 and 130 on the New York Stock Exchange. Even Gateway, which generates only 6 percent of sales from Europe, was off $3.29 to $48.61. And Sun Microsystems Inc. (NasdaqNM:SUNW - news), which does not even sell personal computers but does generate 27 percent of its sales of business computers in Europe, was off $3-37/64 to 107-13/16. Several analysts expressed disappointment that Dell did not lower the bar for sales growth for next year, as well. ``Our biggest surprise and disappointment is that the company did not lower calendar year 2001 revenue guidance as well,'' a Lehman Brothers analyst wrote in a note to clients. He added that 25 percent growth would be more prudent than 30 percent sales growth targets.