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

To: Sr K who wrote (31542)	3/1/1998 11:07:00 AM
From: Leo Francis	Read Replies (1) \| Respond to of 176387

BE, Please reread my 'Rational #1'. Look at the assumptions. Do you think DELL, can maintain a 4-5 times revenue valuation? That's the premise. Your assumption is that 30-45 times 'projected' earnings is fair valuation. My position is that this forward confidence is already in the price, in abundance. I also think the risk/reward at these levels favors sell. $160 gives a new investor from 140 14% return. Now a 14% decline from $140 gives you $119. Which is more likely? Obviously this is the question, and I feel $119 is more likely. One must also think macro valuations, and current 50 billion market cap growing to over 57 billion market cap in your $160 example is pretty daunting to say the least. This is what makes markets. Good Trading, LF