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

To: jimleon who wrote (52210)	7/18/1998 7:45:00 PM
From: Chuzzlewit	Read Replies (1) \| Respond to of 176387

Hi Jim, I agree with all you said. The hype and hoopla over stock splits is funny. We've recently seen runups in prices of large cap issues in anticipation of splits, followed by dramatic downdrafts. It's a zero sum game. I think that the upward bias you noted is not due to the split, but rather, the split is due to upward bias. That is, companies whose stocks split tend to have been better market performers because of their fundamentals. That is, its good earnings that drive the price of the stock up, which in turn drives the split. So companies with stock splits tend to have more solid earnings prospects than those that don't. I do have a slight amendment to one comment you made: 4. If I am in charge of Dell and have all this excess cash, I have 3 options basically. I think you forget a fourth option: dividend out the cash. TTFN, CTC PS come back to TLAB. All is forgiven.