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

To: Phillip Crone who wrote (33073)	3/8/1998 3:00:00 PM
From: Chuzzlewit	Respond to of 176387

And now for some final lunacy: "Dell is a great American company. All American box makers are going to go through a few tough years as the momentum slows. Dell is a speculative stock, book value at 3 bucks and P/E near 50. Expectations for Dell are at the highest level possible, any disapointment would pop this bubble very quickly. When will the bubble burst, during the next 3 months. I predict Dell will lose over 50% of it's current market cap. Dell will be back at this level in 5 years if they are not bought out by then." 1. I though we had established the fact that book value is irrelevant. 2. If Dell were to fall by 50% it would be trading at a forward-looking P/E of about 17.5 -- but industry analysts expect Dell to grow at about twice the increase in demand for computers -- roughly 35%. 3. If it took five years to recover to its current levels years that would imply imply an expected growth rate in the stock of only 14.8% per annum. So, if the analysts are correct, that would imply that DELL would be selling at a forward-looking P/E of about 6 five years from now!

To: Phillip Crone who wrote (33073)	3/8/1998 3:24:00 PM
From: Mazman	Read Replies (1) \| Respond to of 176387

No one is saying that bears like yourself are not welcome on this thread. And no one certainly cares a fig about the background or net worth of those posting. What matters are facts and reasoning and a little bit of decorum.