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

To: gc who wrote (32868)	3/7/1998 10:17:00 AM
From: Jim Patterson	Read Replies (2) \| Respond to of 176387

re: DELL would not be affected by CPQ's fire sale. You are right, DELL won't be affected. PC market pricing will be affected. If the largest supplier floods the market with lower priced products, Pricing for the entire market will be impacted. CPQ is cutting prices to reduce inventory. At the same time, CPQ will not slow production. Neither will any one else. After the inventory is worked off in 3-6 months, end buyers will have become used to the new lower prices and the new accelerated price decline trend. A priceing momentum trend that won't be reversed. It was not reversed in DRAM, Hard disks, Flat Panal displays. We have seen what happened to earnings at all, key word, ALL of those companies. Does DELL have the magical formula to beat the odds. Can DELL maintain record valuations, which discount vertual perfect execution with no change in the any industry fundamentals ? You think so, I don't. Jim