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

To: Chuzzlewit who wrote (76953)	11/7/1998 12:03:00 PM
From: D. Swiss	Respond to of 176387

CTC. I just received Fidelity'semiannual report. In the select computer portfolio, there is an interview of the manager (another guy named Mikey). The question asked of him is "which of the fund's holdings were standouts during the past six month's? His response: "Dell continued to post strong performance and was one of the fund's best performers during the period. The company operates a very efficient model for selling personal computers. What I mean by that is that Dell often is able to under-price its competitors-including Compaq, Hewlet- Packard and IBM- because it doesn't have to worry about stockpiling of inventory. One of the most pressing issues that faces ic predicting demand. By building computers when orders come in, rather than producing them in advance and keeping them in inventory, Dell more or less eliminates the costs associated with forecasting demand incorrectly." BTW, Fidelity Select Computer Portfolio's number one holding is Dell @15.4% of its holdings. No wonder the portfolio is up 50%+ YTD. I couldn't have put it better myself. :o) Drew

To: Chuzzlewit who wrote (76953)	11/7/1998 4:56:00 PM
From: jhg_in_kc	Read Replies (2) \| Respond to of 176387

Chuz, isn't Dell's cash conversion cycle a result of the "virtual Integration" build to order just in time manufacturing business model. And isn't Dell going to- believe it or not- real time purchasing of components at the instant the buyer places his order. Dell is coming in my mind to be a virtual company, that in some senses, doesnt exist in the real world until an order is placed, then it instantaneously springs to life and is a manufacturing virtuoso. I have not phrased this as well as I hoped. Any thoughts? What in your view is the relation between virtual integration and the cash conversion cycle. Which is the chicken? Which is the egg? (interesteng question for a cat.) jhg

To: Chuzzlewit who wrote (76953)	11/7/1998 6:52:00 PM
From: Voltaire	Respond to of 176387

Hey Chuzz- Thanks for the clear and detailed explanation of my extremely crude deduction. The information one can glean from this board is absolutely staggering. Most of the true Dell Heads on this board seem to really be informed. I am somewhat of a maverick and gambler when it comes to my investing. My one credo is never buy a stock that you would not be disappointed if it dropped in price. Two other things I am not impressed with is TA and diversification. Show me a chart that will predict earnings and you will have something, as for diversification, show me the best horse and jockey and I will pile it on. as for now the best stud in the race is a horse named Dellmike! Take Care.