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

To: Calvin who wrote (100206)	2/16/1999 11:15:00 AM
From: William F. Wager, Jr.	Respond to of 176387

Dow Jones on today's expectations.... Dell Seen Meeting 4Q View Of 31c/Shr,But With Little Upside By Joelle Tessler NEW YORK (Dow Jones)--Dell Computer Corp. (DELL) will likely meet Wall Street's consensus estimate of 31 cents a share for its fiscal fourth quarter, but probably won't beat the number by much more than a penny, analysts believe. Piper Jaffray Inc. analyst Ashok Kumar does not expect the computer maker to make the whisper number of 33 cents a share for the period, which ended last month. Dell, which earned a split-adjusted 20 cents a share in the fourth quarter of last year, is scheduled to report its results after the market closes Tuesday. Kumar explained that the company's fourth-quarter results will be driven by gross margin expansion or expense controls, rather than top-line growth. The analyst expects Dell's revenue to come in at about $5.2 billion in the quarter, below both his own estimate of $5.4 billion and the consensus view of $5.6 billion. Dell posted revenue of $3.7 billion in the fourth quarter of last year. "It will be a good quarter, but it will be a real strain to get there," said CIBC Oppenheimer Corp. analyst James Poyner, who expects Dell to report 32 cents a share on $5.4 billion in revenue. He added that Dell "has enough reserves in its hip pocket" to meet estimates. Dell's shares fell nearly 12% Friday after analysts at BancBoston Robertson Stephens and Salomon Smith Barney warned that the company faces tougher competition as other PC makers cut costs and shift their business models to include more direct sales. This has taken away some of the advantage Dell has enjoyed from its direct sales model. Robertson Stephens analyst Daniel Niles also cut his fourth-quarter revenue figure on Dell to $5.2 billion from $5.5 billion.