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

To: William C. Spaulding who wrote (57905)	8/12/1998 5:15:00 PM
From: jbn3	Read Replies (2) \| Respond to of 176387

re Hard Facts William, evidently you base a lot of your argument upon the appreciation of DELL's stock price in the past year "Dell's stock price is 280% higher" as a metric to compare revenue, income, and earnings growth. I am fully willing to grant you that the stock price has appreciated faster than the other factors: *but have you considered that perhaps DELL was extremely* undervalued a year ago? That perhaps the stock price is only now approaching a fair valuation, based on demonstrated continuity of earnings, revenue, and market share growth? and potential for more? I think your metric is flawed. If DELL had been at $200 a year ago, would you now say that it should be 63% higher, merely because earnings increased 63%? Or had it been at $1, would you now expect it to be trading at $1.63, using the same logic? If one claims that it was properly valued then, because the market placed that valuation, one should be able to apply the same argument today. I do not disagree that DELL is highly valued. I value it very highly myself. <vbg> But it is just within the last 18 months that the market has begun to understand and appreciate the fact that DELL is not** 'just a boxmaker'. (Neither is CPQ since its acquisition of TDM and DEC, though in a different sense.) That appreciation has increased the 'value' of DELL in the marketplace; DELL's 'value' is strengthened every time it announces. Other companies announce shortfalls and layoffs, while blaming SEA or El Nino. As far as I know, DELL is hiring more aggressively than any other company in the world. Can you name another Fortune 500 company hiring 200-300 personnel per week? Will DELL retrace somewhat? It may. Should it? Only the market can say, and the market seems to like DELL's potential. If the market decides that DELL is overvalued and it drops a good bit in the next 1 1/2 weeks, I may own a lot more DELL than I currently do. But that won't worry me, because I'm confident of DELL's potential. DELLish, 3.

To: William C. Spaulding who wrote (57905)	8/12/1998 5:21:00 PM
From: larry	Respond to of 176387

If you compare DELL's PEG with its peers, DELL looks pretty cheap. DELL is growing earnings 9-10 fold faster than the average S&P index, and the excellent track record of its past earnings all issue DELL with a premium PE. I agree that at such lofty valuations, DELL is regarded as a perfectly run company. Will it continue to do so? Think so...and if it does, this baby will continue to outperform the market by a wide margin. Actually applying your theory to MSFT, LU, CSCO, I still see DELL undervalued. Anyway, my take is that if DELL has a sharp run toward earnings in the next 3 to 4 sessions, it will correct to the current level after report unless a stock split is issued. i tend to believe that DELL will trade sidelines at current level until the market stabilizes. that is to say, DELL will consolidate between 105-115 for the next 7 weeks and rally toward 130-140 for its Nov. earning report. the only thing that will prevent this from happening is that DOW tanks toward 8 k or even lower. larry!

To: William C. Spaulding who wrote (57905)	8/12/1998 11:43:00 PM
From: DoggieDude	Respond to of 176387

WS: You keeping mentioning the hard fast numbers as if they were the only thing determing stock movement. Income up 154% and stock price up 260% only proves this to be wrong. There's a lot of emotion in the market. If Dell has a great earnings report people will only see the prospect of another 100% run up in the near term and they will jump in in hopes of recovering some lost profits. This may or may not turn out to be a sustained rise but these sorts of things have a tendency to be self fulfilling prophecies. If enough people want to belive in a big run up IT WILL RUN UP.

To: William C. Spaulding who wrote (57905)	8/13/1998 1:04:00 AM
From: Islander	Respond to of 176387

Although I actually find your posts generally interesting, the blatant use of bold appears to indicate your belief that your information or comments are of such importance, in their entirety no less, that the dolts on the thread need to be hit over the head w/ your relevance and insights. Perhaps this will suffice to help your self esteem, "...gee William, that was an astute and otherwise brilliant posting full of information I have never considered." You are good, bright, special, and a neat guy. OK? now lay off the bold, please, thanks.