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

To: Jim Patterson who wrote (54737)	7/28/1998 2:00:00 PM
From: JRI	Read Replies (1) \| Respond to of 176387

Jim- You are hopeless....no sense discussing rationally with you... I will leave you with this: You said: <I am confident that I will exit my positions if they start to move againse me. until then, I am in the win column. > You still don't get it........Relative to you, since March/April......we (longs) have won, and you have lost....even if you weren't short........you missed out on a 70% gain, better than MSFT, LU, and practically everything else in the investment world (save the Internet stocks)....in less than 4 months....That's a lot of money you left on the table, Jim. So, if you want to call your strategy a win, go ahead..........if you think you have a winning record, great...... Dell longs are the undisputed champs during this period...that is all that really counts..........it is rather clear...I'm sure you would not admit this, though...I am sure glad I haven't listened to your advice since April..... P.S. (I just can't resist)...I can't believe that you are trying to claim victory that since Dell's ASP's fell in Q1 and Q2, you were right....Give me a break, Jim.......Your point was that falling ASP's hurt profitability, and that Dell was not immune to this..You were wrong...If it was your point to claim Dell is not immune to falling ASP's (only)....duh...what a meaningless point..We all know that ASP's (generally) fall in this industry.......Some companies manage the process better than others....Dell being among the best....

To: Jim Patterson who wrote (54737)	7/28/1998 5:41:00 PM
From: Kayaker	Read Replies (2) \| Respond to of 176387

You appear to be making 3 points in your post to John. All 3, IMHO, are either factually or logically incorrect: 1. Well, ASP's are falling at DELL. I guess that DELL is not immune to that. So what is your point here? As Dell has repeatedly stated, component prices are coming down faster than ASP's. I refer you to the article Mohan posted this morning: "ASPs are coming down, but not nearly as fast as component prices," said Charles Wolf, an analyst with Credit Suisse First Boston. "In the history of the industry, we've never seen component prices come down collectively as fast as they have. It has not only been memory, but storage and processors." Message 5333575 2. CPQ claims profitability in the sub-z. DELL says they can't make $$ in sub-Z. Go figure. I assume by sub-Z you mean sub-K? Of course Dell can make a profit from a sub $1000 computer. Show me the article where they say they cannot. They have a cheaper assembly process, almost no inventory, and no dealers to share profits with. Michael Dell explained this at the annual meeting. As he said, they could make a high percentage profit selling mouse pads, but they won't make much money at it. They have repeatedly stated that they have chosen not to enter the sub-1000 market, and if they feel this will be a profitable area, they will do it. Again, they are looking at "profitable" as the total dollar profit, not percentage profit per machine. 3. DELL's last quarter was not Excelent. This is one point that no one here gets. THEY MISSED THE WHISPER NUMBER !!! This makes no sense. No matter how profitable a quarter, a company may still not exceed the whisper number. To make the point, if the whisper number was $5.00, and Dell came in at $4.95, you would say they had a lousy quarter? Dell posted an EPS of .44 last quarter, while all the other big manufacturers posted losses or very small gains. They had an excellent quarter.