Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: DWW II who wrote (58923)	8/18/1998 1:56:00 PM
From: Uncle Frank	Read Replies (2) \| Respond to of 176387

>The leak in Texas is .57 cents. Hang on baby................ Can you get a little more specific about the leak? Is it from employees, or guys hanging around the barber shop? I'd gladly settle for .50, which is the reputed whisper number, but can you imagine the reaction if Dell announces .57 and a split? It would make my brash decision to double up at 116 in July look insightful <g>. Frank

To: DWW II who wrote (58923)	8/18/1998 2:11:00 PM
From: JRI	Respond to of 176387

Another Michael Murphy's (somewhat) misleading statement... In the CNBC interview today....MMurphy said Dell expects to earn $2.00 this year... Now, let's take .44 + .48 (Murphy's expected) and add (projected) figures for quarters 3 & 4...... .52 + .56= $2.00 ....great, we got Murphy's $2.00... Wait a minute, there is a problem, though.... If Dell were to post .52 and .56 respectively, that would only mean EPS growth (quarter-over-quarter) of 8.33% and 7.7% for quarters 3 & 4.....this would be SLOWER than EPS growth (quarter-over-quarter) than in QUARTER 1 & 2! C'mon Mike, after your bullish comments on PC demand in the 2nd half of the year (and since you are an expert on the industry, you should know that the 2nd half of the year always exhibits much stronger growth than the 1st half)....you are predicting that, sequentially, Dell's EPS growth is going to SLOW in the second half? A more likely (still conservative) scenario: Let's reckon sequential EPS growth of 15% for quarters 3 and 4 ... (Sticking with Murphy's .48 call for this quarter) .44+.48+.55+.63= $ 2.10.........10 cents higher This is a significant difference. (to Murphy's projection) Look, Murphy probably took First Call's estimates, and guessestimated this $2.00 figure....but it should be clear to Murphy that First Call is going to be on the low end, and it appears he is using the lowest number around to justify his argument about investing in CPQ (on national TV)....Or maybe he just grabbed the nearest number to his (overcrowded) desk, and didn't think it made a difference......However, it is this kind of continual misinformation that confuses the average investor....people who dont have all day to sit around and debate the nuasances of investment-speak... IMO, I think the Michael Murphy's of the world should be held to a higher standard (when throwing out numbers)......If they are going to go on National Television (accessible to all, not just a limited group of more sophisticated newsletter subscribers...)..I also think that Dell's EPS will growth faster than %15 Q-over-Q in quarter 3 and 4 this year. After all, maybe I shouldn't complain....maybe his lowering of the bar will help mitigate any big downdrafts... After all, maybe I should not even check this thread, or the investment press for 6 months....and go live in Fiji....after all, in six months, Dell stock price will be a lot higher than today, and the company will continue to perform outstandingly... (IMO) <GG>>