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

To: Techie who wrote (102231)	2/17/1999 7:58:00 PM
From: Chuzzlewit	Respond to of 176388

No, frankly i don't think it will be that difficult for Dell. They have been aggressively migrating towards enterprise level sales, and I think revenues from Asia will expand significantly. Michael Dell also talked confidently about the pipeline for next quarter. I think next year and the years following will prove more difficult. I expect a spurt of buying from now to the end of the year involving replacement of machines because of Y2K issues. The next buying binge will probably be triggered by NT 5.0. It doesn't look like Pentium III will add much. Using P/E as a benchmark in a vacuum doesn't make sense for a number of reasons, not the least of which is it ignores current market valuations. The S&P is trading at around a P/E of 27 times next year's earnings, and long term growth for the S&P is around 9%, or roughly 3 x earnings growth rate. So, on a CNPEG basis using your $1.47 and a 30% long-term growth DELL is still trading at a discount to the S&P (0.612). So call me stupid. TTFN, CTC