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

To: craig crawford who wrote (43423)	5/19/1998 5:28:00 PM
From: David Vanderpool	Read Replies (2) \| Respond to of 176387

Craig, Calm down buddy. You are typical of the kind of person I am talking about. Don't get defensive, just look at the numbers. I didn't say they were bad, but they aren't as good as before. And I merely posed a couple questions. << 1) Profits are not growing as fast as revenues. ie. they are buying market share. >> > Sales up 52% -- EPS up 63%. Hmmm... Look at sequential eps growth << 2) Average selling prices in the industry are falling >> > Doesn't seem to phase DELL. Yet. If the stock trades down on this report, what does it do if asp's are hit in the next quarter?? << But the growth rate of the stock price price is twice that of the earnings growth rate...how much up side is left? >> So? Look at the earnings growth for the S&P 500 since the bull market began. Then look at the returns for the S&P 500. The market has appreciated at more than twice the rate of earnings growth. Two wrongs don't make a right. << 4) Generating 50% revenue growth from 3bill to 4.5bill is easier than from 14bill to 21bill. Can they keep it up?? >> > People said that last quarter...and the quarter before...and the quarter before...and the quarter before... Yes,,,but like I said, generating 1.5 billion in revenue is easier than generating 7 billion in revenue. I'm not beating up Dell, I'm just saying people should take a long look at things, and think about them and not get caught up in some euphoria. Look back at the posts the lasts few days....estimates were thrown out of .50 eps and the stock at 130.... there is a bit of overenthusiasm here and in the stock price.