Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Patrick E.McDaniel who wrote (39977)	5/2/1998 2:03:00 AM
From: Chuzzlewit	Read Replies (1) \| Respond to of 176387

Patrick, the market is always forward looking, so discussing trailing p/e's never makes any sense. It's like going into a bank and deciding that you want to take out an auto loan based on last year's interest rates. To my mind, there is really only one relevant company metric that determines valuation -- operating cash flow. The genius that Dell has demonstrated in through Tom Meredith, is a cash conversion cycle of -4 days. That allows the company to free huge amounts of cash so that it can easily fund its expansion and stock buy-backs. Given the fact that this company is one of the fastest growing large caps this feat fringes on the miraculous. TTFN, CTC