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

To: Techie who wrote (48561)	6/22/1998 8:23:00 PM
From: Geoff Nunn	Read Replies (1) \| Respond to of 176387

Techie - re: Do you have any evidence to prove that CPQ, HWP & IBM are subsidizing their sub-1k or are you just telling stories? Not with me no, but it's been widely reported that their sub-1k units are not profitable. What does that mean to you? I would suggest you do your own evidence gathering for a change.

To: Techie who wrote (48561)	6/22/1998 8:25:00 PM
From: Chuzzlewit	Read Replies (2) \| Respond to of 176387

Techie, you said According to what CPQ has said, the sub-1k is very profitable. There are two problems here. The first is how you define profits. Depending on what costs are absorbed and at what rate investment are amortized or depreciated estimates of profitability can vary widely. But the second problem is one of corporate credibility. Prior to the emergence of the sub-1k machine CPQ had gross margins of around 27%. Last quarter their margins had fallen to 18%. This is a hard pill to swallow if the profitability of the line were so great. Frankly, I don't believe there is much if any profit. Remember, Mason said things were just fine a few days before Pfeiffer issued an earnings warning. TTFN, CTC

To: Techie who wrote (48561)	6/22/1998 8:36:00 PM
From: Geoff Nunn	Read Replies (1) \| Respond to of 176387

Dell has been in business for a very long time and it's only the last 2-3 years they've done any business to speak of and they only have a 7.5% market share after 15 years! Techie, this statement reflects a lack of understanding of the properties of exponential growth.

To: Techie who wrote (48561)	6/22/1998 10:45:00 PM
From: jbn3	Respond to of 176387

Techie, Techie, Techie... How are we ever going to learn to respect you with posts like this: According to what CPQ has said, the sub-1k is very profitable. This is Zack's earnings report on CPQ for last quarter and estimate for current quarter: $0.01 and $0.01 www1.zacks.com That's what you call very profitable? Although, now that I look at it, your statement appears logically consistent with your investment strategy... "Shorting DELL is very profitable." Does your boss know you shorted DELL? Techie, I'm afraid you're just not going to win the "Analyst of the Year" award. 3.