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

To: gc who wrote (32858)	3/7/1998 12:13:00 AM
From: Jim Patterson	Read Replies (3) \| Respond to of 176387

re: CPQ experienced "sales jump" (2Q & 3Q97) due to its incremental BTO orders and continued unpopular models flowing into the channel. Then as inventory builds up, they have to announce this big problem. get it? It's that simple! Hey, You are right, This is just a little inventory problem at CPQ. Nevermind the fact that it is a multi Billion dollar inventory problem. CPQ probably has 1/2 a quarter of DELL's sales in inventory to get rid of in the next 3-6 months. Get rid of with no profit margin. That means really low prices. Dell will probably pull a MU and press dumping charges against CPQ when they can't match CPQ's fire sale prices and still make $$. John Carson used a HDD manufacture analogy that is probably not far off the mark. In the next 6 weeks, All these DELL nuts will find out exactly how small their comapny really is in the big world. See, I am expecting the same thing to happen at IBM. Then HWP will join in. Neither wants to loose Market share to CPQ. Where will that leave DELL ? When the Biggest player abandons the number one goal, Profits, then profits are no longer important, Survival is. If you think DELL can not miss a lick in the upcomming PC market, GO long, Buy the Dip. Have a good time. I still think 142 was the top. Jim