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

To: chuckie who wrote (45948)	6/2/1998 10:33:00 AM
From: MichaelW	Read Replies (1) \| Respond to of 176387

Companies are responsible for forward looking statements, lawsuits, etc. I didn't believe Michael Dell a few years back and missed out. I believe it was a few months ago that MD said that their just starting to get into Asia, and that they have limited exposure.

To: chuckie who wrote (45948)	6/2/1998 10:47:00 AM
From: SecularBull	Respond to of 176387

Chuckie, I BELIEVE MICHAEL DELL. If you don't, you should sell all. Regards, LoD

To: chuckie who wrote (45948)	6/2/1998 11:45:00 AM
From: Ken Bobey	Read Replies (2) \| Respond to of 176387

SUCKER'S RALLY, SUCKER'S RALLY. "It's like watching a car crash in slow motion."

To: chuckie who wrote (45948)	6/2/1998 2:15:00 PM
From: Chuzzlewit	Read Replies (2) \| Respond to of 176387

Chuckie, there is only one grouping of companies that felt the negative impact of the demise of the Asian economies: those that sell significant amounts of hardware there. TLAB, for example, has felt virtually no impact. Then there are the companies that have felt the positive impact of Asian economic woes. Retailers like PIR are prime examples because they could take advantage of lower costs. Of course Dell has felt the fallout. It experienced significantly lower costs, and could take advantage of them because of superb inventory management. But superimposed on the general Asian economic landscape are poor inventory management decisions by the disk drive and chip makers, leading to overcapacity that predated the Asian economic collapse. But again, companies that are buyers, like Dell, profit. And companies that are sellers, like AMAT, lose. In spite of all of that, Dell is reporting a rise in ASP, and Lehman is agreeing with that position. With an industry expected to grow at 15% or so per annum its really straining it to talk of market saturation. There are pockets of oversupply - Compaq and IBM come to mind, but this is different from saturation. Finally, Asia works for Dell, not against Dell. Finally, I think Intel's problems stemmed from the fact that it allowed AMD and Cyrix to gain a foothold in the sub-zero market. But this has nothing to do with Dell. It's analogous to arguing that Seagate's problems will have a negative impact on Dell, or that the company that makes Dell's power supplies could have a negative impact. I do agree with the first point you made -- "The stock is operating in a fundamentally bad environment for technology. Intel's Merced is not the key factor here." The market mood towards tech stocks is pretty ugly right now. But this is different than the actual economics supporting some of those companies. I think that Dell is being unfairly tarred with the same brush as Intel and Compaq. TTFN, CTC