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: jim kelley who wrote (107878)	3/6/1999 3:29:00 PM
From: Mohan Marette	Read Replies (2) \| Respond to of 176387

Jim: I think Gigabys will be a killer site and prove to be quite successful.May be one day Dell can spin in part of it off,like 15-20% and make a killing,you know couple of million shares through an IPO should be a grand success,then again why do that they don't need any money,I will keep it all in the family.

To: jim kelley who wrote (107878)	3/6/1999 3:51:00 PM
From: stockman_scott	Respond to of 176387

Gigabuys.com...on a more serious note this is BIG.... Yesterday, Nationsbank Montgomery issued some positive comments on this new initiative. Here are the highlights: <<DELL launches Gigabuys.com -- A new competitor for Online retailers of PC add-Ons. -Gigabuys offers a 'no brainer' way for DELL to increase sales to future PC customers and to the millions already in its consumer installed base. -While Gigabuys is a relatively low margin business, DELL's rapid growth in the high margin enterprise business by design provides the needed margin offset. It would be a mistake to view Gigabuys as dilutive to the DELL model. -Our pricing survey showed Gigabuys to be quite price competitive with other online retailers. This addressed our initial concern that DELL might employ a skimming strategy, similar to DellWare, intended to preserve margins without adding much to the top line. -DELL intends to evolve Gigabuys.com into the #1 online destination for computer related products. Later this year it will offer 40,000 products. The company intends to soon expand Gigabuys.com internationally (Dell.com now operates in 44 countries) and enhance it for business, government, and education customers by extending Dell.com's Premier pages to Gigabuys.com. -Gigabuys.com features a low-SG&A cost model whose role will likely grow inside DELL. The web-only format will sharply reduce sales- and order- processing costs. We expect tech support costs to be less than 1 percent under Gigabuys, as it will be limited to items purchased through Dell.com. Nationsbank Montgomery Rating on DELL: BUY (3/5/99) EPS estimates FY Ends 1/31 1999A 2000E 2001E .....$1.05 .....$1.50 ........$2.00 P/E .......77.8* ........54.7* .........40.8* P/E/G .......173% .......122% .......91%>> -------------------------------------------------------------------------------------------------------- Things are looking good and DELL continues to come through for us. Enjoy the weekend. Regards, Scott