To: Rosemary who wrote (57725 ) 8/12/1998 2:52:00 AM From: William C. Spaulding Read Replies (3) | Respond to
Even though computer sales probably will be good, even great, for the rest of the year, the stock price has outstripped actual growth. In addition, Asia will weigh heavily on the market this fall, so I'm expecting Dell to be relatively flat until next year, even if it beats the whisper number and even if they announce a stock split. It will still have its ups and downs. I expect surges in the middle of September, the beginning of October, and if Asia turns out not to be too bad, the beginning of November and December. And there will probably be a small surge right before earnings, if market conditions don't deteriorate further. However, because Dell will decline before these times, I don't believe that it will reach much above the present levels--at least not permanently--until next year. Like I said before, it's already 2 1/2 times above last year's price, and yet growth is only about 60% now, so I don't think Dell can climb too much higher until next year, especially in present market conditions. The articles that I have been reading lately has fund managers and analysts painting a gloomy picture for the rest of the year, and this time isn't necessarily going to be a buying opportunity. The only way to make money in this market is to write options.What does your husband do? Do you speak Singaporean? :-)
