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: On the QT who wrote (89752)	1/18/1999 4:07:00 PM
From: JRI	Read Replies (1) \| Respond to of 176387

QT- You raise some good points...It is interesting to note...and so far I have not posted to this....the appearance, or rather absence, of MD or TM announcements this quarter (concerning the quarter)...since I have been following Dell (which has not been that long...about one year)..this is the quietest I have seen MD or TM... Now some have speculated that this infers that it will be blow-out quarter....Don't know really if it does, but antedoctal (sp?) evidence (Intel, annoucements for other PC markers, independent studies, etc.) points to a strong quarter for Dell....and historically, 4th Quarters have been very good, indeed, for Dell (corporate demand, consumer)...and now we also have Y2K and Euro-spending helping... The question I would love to know: Does this quarter's lack of announcements (from Dell) represent a (subtle?) shift in strategy concerning the investor community...if you recall, last April, (Fortune magazine covers this) MD and TM met with analysts and tried to make the argument (successfully in my eyes) that Dell's stock was undervalued (relative to other growth, big caps)...In the summer and fall, we received periodic good words from MD and TM concerning demand for Dell products during various speechs, public presentations, and interviews in which they were present....In Sept., MD went as far as saying sales were "great" which, I guess, meant one thing to some, and maybe something to others.....in any event, it took some credit as a reason why the stock price did its (typical after earnings swoon)..that, along with the famous "Kumar conference call" incident... Now, it could just be that MD and TM just didn't have as many public appearances, speeches, etc...scheduled this past quarter, and have had less opportunity to comment on the (upcoming) results of the quarter...after all Q1 has the April analysts conference, Q2-shareholders meeting, Q3- Various high tech conferences, Q4- Could it be the weak part of the year for these appearances...and therefore, announcements?? My guess is there HAS BEEN a shifting of strategy here...I have heard MD talk more in terms of "the market will price our stock whatever it sees fit (not an exact quote)" lately, then "our stock is undervalued"...In summary, I see Dell becoming more "Microsofted" here..say little, maybe even be understated (when things are going great)..because, ultimately, as Chuzz says, it comes down to "cash flow"...Dell does not need to smoke and mirrors...(and daily announcements that it has become an associate of Amazon's reseller program <g>)....in turn, perhaps this will draw out some of the "hot money" guys out of Dell's stock...and bring in more (long-term, growth-oriented, somewhat conservative?)..who want to hold growth companies that perform and shut up...Period.. Maybe MD saw that the constant timing of "happy" announcements to keep the stock rolling, and dancing to that tune is utterly futile...(some) are bound to misinterpret you regardless, get to giddy (and too down), and dump when they overshoot...who needs 'em (anyway)... So, MD is Microsofting here...that's my guess...but you know what.....only on a day like today could I ramble like this...and you know what (too).....ultimately, this whole issue is irrelevant (for long-term holders) although I would like to know what others think here...am I onto something here? Is this the trend for the future?