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

To: Dennis who wrote (80232)	11/14/1998 12:11:00 PM
From: Chuzzlewit	Read Replies (1) \| Respond to of 176387

Larry, the PR doesn't matter so long as credibility exists. MD has not overstated his case, so setting the bar artificially low has no purpose. The fact that Dell beat expectations by $.01 per share is proof positive of that. It should be clear to almost everyone who is a serious investor that analysts don't analyze. They get their information from the companies they follow. So it is important that the conduit of information is credible. Artificially lowering expectations serves nobody except insiders who know the truth. There is a second issue to consider, and that is access to capital markets. It's very important for investment bankers to trust what management tells them. Accuracy is very important. I say this as a long term investor. The value of my investments ten years from now have nothing to do with current PR, and everything to do with execution. And Dell executes! TTFN, CTC

To: Dennis who wrote (80232)	11/14/1998 5:26:00 PM
From: larry	Read Replies (3) \| Respond to of 176387

Dennis, DELL is still a fantastic company, no doubt about that. I still believe that CSCO & MSFT have the best management team by a wide margin partly because these guys know how to manage expectations. Everyone knows that CSCO is going to beat first call by a penny, so in usual cases they see their stocks rally into the report and trade higher after report. But I guess that DELL will learn the lesson soon simply because the days of 9-15% earning surprise are basically gone. But I do have a problem with DELL. THe PC market is at 160 billion this year and assuming that it grows 15% yearly (and consider price dropping), what will the market be for DELL in the next five years? And I also believe that PC is going to become a true hardware commodity, and the true growth has to be found on the internet. It's very hard for me to believe that DELL should command a 200 billion market cap in the next two-three years, and that's just one double away from the current price. larry!