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

To: Mohan Marette who wrote (22408)	11/21/1997 11:37:00 PM
From: Sig	Read Replies (2) \| Respond to of 176387

Mohan: There is something about these estimates which you have so so kindly provided in that URL which may explain why analysts have almost always underated Dell. The low estimate for quarter 4 of '97 to quarter 1 of 98 (58 vs 62) works out to be an increase of about 7% , or on the mean estimates about 9%. This is completely at odds growth-wise with the physical evidence of what is going on at the Dell company. A new factory opened in June, now producing 8000 computers per day running double shift. A new factory in Penyang 5 new buildings being erected in Round Rock to support sales and service and administration efforts. A new 570 acre tract purchased/leased for new production facilities in Austin. Internet sales go from $1 mil, to $2 mil to $3 mil /per day in a matter of months. Infrastructure in place to support ten times that amount. Mean estimate $ 0.65 0.71 High estimate $ 0.73 0.84 Low estimate $ 0.58 0.62 All of this is part of Phase 3( Hi, three) pointed out by Mikey at the stockholders meeting in July( so many months ago) When you see the speed at which those buildings are being erected ( I saw the progress made in 4 months), it is apparent that most of this will be complete within 2 years, 3 at most.A Production rate 3, 4,or 5 times the present rate is a much higher growth rate than the 28% a year implied by the earnings estimates. Please excuse my wordiness,Mohan, its pretty damn quiet over here as opposed to Dallas and gee, well,I had to tell somebody. (ggggg) Sig