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

To: Lucretius who wrote (40553)	5/6/1998 10:22:00 AM
From: K. M. Strickler	Respond to of 176387

LT, Of course you are correct. I hadn't thought about the way the 'big boys' did it, on dollars. Being a 'little' guy, I get the best break when trading 1000 shares, so if I had 1000 shares that split, now having 2000 shares, I would have to trade over a 2 day (2 x 1000) period to avoid the $.03 per share trade cost for share numbers >1000. It only costs me $14.95 to trade 1K shares, but 2K would be $14.95 + $0.03*1000 or $30 making the total cost $44.95. I can save ~$15 by trading the next day. Please accept my humble apology for having put you through this explanation. Warmest Regards, Ken

To: Lucretius who wrote (40553)	5/6/1998 10:23:00 AM
From: Walt Corey	Read Replies (2) \| Respond to of 176387

LT, is there a point to all of this? eom

To: Lucretius who wrote (40553)	5/6/1998 12:43:00 PM
From: Dell-icious	Read Replies (2) \| Respond to of 176387

LT: You are incorrect in your analysis regarding volume, as with DELL in general. True, position traders might care more about the market capitalization of their shares, in which case they have to trade double the number after split if they bought/sold pre-split. However a significant portion of volume is due to short-term/daytrading. Daytraders typically trade in lots of 1000, pre-split or post-split. There are many reasons for doing so, among them being the ability to use the SOES execution system which can be used only to trade upto 1000 shares. Thus, a daytrader trading 1000 DELL pre-split is NOT going to trade 2000 DELL post-split. Hope this helps. Dell-icious

To: Lucretius who wrote (40553)	5/6/1998 2:43:00 PM
From: Chuzzlewit	Read Replies (2) \| Respond to of 176387

Lucretius, I've been arguing for years that splits don't add value. It's like changing a $10 bill for two $5s. But the fact is that momentum players are engaged in the greater fool game on this one. So, we see big runs in companies like DELL and LU that are purely split associated. I think that people playing this game are going to be burned badly. I know I'll get flack on this, but ask yourselves this. If A company has 10 million shares outstanding, of which you own 10,000 you own 0.1% of the company. If the stock splits 2 for one you have 20,000 shares out of 20 million, and you still own 0.1%. Why should the total capitalized value of the company increase simply because there are more pieces of paper floating around? TTFN, CTC