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: Satellite Mike who wrote (43090)	5/19/1998 1:14:00 AM
From: Chuzzlewit	Read Replies (3) \| Respond to of 176387

Michael, where do you get this stuff from: To justify the current share price and market cap, they should make .75. The fact is that to justify the current market capitalization investors (both longs and shorts, buyers and sellers) need to agree on the price. They have done so, and have valued the company at around $95 per share. The mechanism they use for that valuation is the stock market. But if you need to be analytical about it, the PEG for S&P 500 is around 3. The PEG for DELL is around 2. If one were to simply normalize DELL's price based on PEGs, I would guess it would be somewhere in the neighborhood of $140. TTFN, CTC

To: Satellite Mike who wrote (43090)	5/19/1998 3:35:00 AM
From: Tumbleweed	Respond to of 176387

DEll vs HP & CPQ Dell's best-ever quarter is puny compared to the results of HWP or CPQ. Good. Lots more room to grow then. JoeC

To: Satellite Mike who wrote (43090)	5/19/1998 9:50:00 AM
From: K. M. Strickler	Respond to of 176387

MB, You are correct, of course, now for the analogy. CPQ is a 'Battleship' in a 'fog' guided by a 'captain' who is 'always correct. HWP is an 'aircraft carrier' with so many 'aircraft' in the air they can't change course for fear of losing some. IBM is a 'destroyer' trying to take on ammunition (AMD) and find the 'fleet' (CPQ,HWP). DELL is a 'nuclear submarine' on course with 'torpedoes running hot and true'. Now if 'they' want to pick a 'fight', 'bring it on!'. ---- CPQ needs the extra cash to 'overcompensate' their bloated management and subsidize their sub $1K computers. HWP is in so many areas, it is hard to tell which ones are actually profitable, depending on who is doing the 'bookwork'. IBM still has to concentrate on their mid-size and large-size computer systems. Regards, Ken