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


To: Chuzzlewit who wrote (58455)8/16/1998 1:03:00 AM
From: Darth Trader  Read Replies (2) | Respond to of 176387
 
At the present rate of growth 1 out of 5 people will be Elvis impersonators by 2005.



To: Chuzzlewit who wrote (58455)8/16/1998 7:22:00 PM
From: Dennis  Read Replies (1) | Respond to of 176387
 
Another great response for my question. Thank you !!



To: Chuzzlewit who wrote (58455)8/17/1998 10:22:00 AM
From: jhg_in_kc  Read Replies (2) | Respond to of 176387
 
Chuzz, Your recent projection of Dell's price in 5 years is as you say quite conservative. a while back i projected Dell's growth again in a hypothetical vein assuming it just kept pace with past performance and continued to split as in the past. I received this reply:

To: jhg_in_kc (57398 )

You might want to consider how many shares would be outstanding with 6
more 2 for 1 splits. Next split means around 1.3 billion shares, go five more times and you have a float north of 40 billion shares - that kind of performance is a pipe dream. 40 billion shares at 25 per share give you a market cap of one TRILLION dollars. That is more than Microsoft, Intel, IBM, HWP, CPQ, and GE combined....

Of course, in 5 years all the stocks he mentioned will have considerably bigger market caps then at present.

But how would you respond to this statement that this kind of growth and attendant splits are nothing more than a pipe dream. Are we being seduced by an opiate here? We do look at Dell's past growth and project it into the future and come up with some astronomical numbers! IF the rate of growth is cut by one half we are still talking about a truly amazing rate of growth! How do you reply to a guy who says this is all a pipe dream?
jhg