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


To: Chuzzlewit who wrote (84501)12/10/1998 12:38:00 AM
From: jim kelley  Respond to of 176387
 
CTC,

Thanks for the comments.

The restructuring costs need to be added to the planned layoff costs to get the full magnitude of the additional acquisition costs.

Thus,

1.6 B + 4 = 5.6 B

At 700 M per quarter operating profit, it will take CPQ two years to breakeven.

Notice CPQ also capitalized their "intangibles" which include the
patents, in process technology and other items acquired from DEC.
It could be that these items have little or no worth in the since that they could be sold.

This all goes to show that the price of a stock is determined in the short run by the amount of promotional effort that is expended on it.
In the longer run, the stock price will reflect its underlying value.

Regards,

Jim Kelley