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

To: Paul Reuben who wrote (67330)	9/24/1998 9:58:00 PM
From: Boplicity	Respond to of 176387

Paul, Same bear story, he presented nothing new. Greg

To: Paul Reuben who wrote (67330)	9/24/1998 11:00:00 PM
From: ace al	Read Replies (1) \| Respond to of 176387

Paul, Hickey must have some big bucks on the line, too bad . The world will not stop!!! Especially DELL!!!! AL T

To: Paul Reuben who wrote (67330)	9/24/1998 11:38:00 PM
From: Chuzzlewit	Read Replies (4) \| Respond to of 176387

Paul, these are Hickey's comments about Dell, and some of my observations interspersed in italics: "For the last five years, Dell has done everything right and has gained lots of market share in a slowing industry. However, the current valuation assumes that Dell can continue growing at a 50% rate forever -- an impossible task. [ Not true. This is a simpleton's simple-minded approach to valuation -- proof by blatant assertion. The value of any company is based on the perception of the present value of future cash flows. As interest rates drop and the earnings outlook crystallizes the value of the asset goes up even without any increase in the cash flows. ] "Dell has many dangerous competitors, including Compaq, HP and IBM, all of whom have made Dell public enemy No. 1. [This man must be kidding. Dell has managed to outperform all of these guy owing to a superior business model that they can't emulate. Compaq, HP and IBM -- the gang that couldn't shoot straight!] "A PC from Dell or a PC from Compaq is essentially the same product. The only difference is that Dell is more efficient distributing it -- for now. [ This is a totally myopic view. Dell maintains the leanest operation end to end owing to a JIT BTO model that the competition can only dream of. ] "The history of the computer hardware industry is that its leaders do not stay on top for very long. Something will trip up Dell. Maybe competition, maybe the economy, maybe Dell itself, as happened in 1993. At the slightest hint of trouble, investors will abandon ship fast and Dell's stock will plunge, just as we've seen with so many tech stocks that have recently disappointed investors." [ Gratuitous nonsense. This is true of every growth stock. But what happened to investors who were into Dell in a big way before the '93 plunge and remained there?. What would $10,000 invested in Dell in January of 1993 be worth today?]