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

To: jds who wrote (110411)	3/21/1999 2:30:00 AM
From: nihil	Read Replies (1) \| Respond to of 176387

It is very possible that the real Dell, that cozy little company that turns out computers in competition with the big boys and spends next to nothing on research (and it has almost nothing invested in capital, such as inventories)will be driven out of business by Mom&Pop's Whitebox House, or Compaq or someone. The other imaginary Dell built on hype and momenum may already be dead meat. How could a box company with nothing but an easily imitated business model survive making cheap PC's and servers that are in no significant way better than the competition. An 80 PE? Ridiculous. We've seen a lot of these stories in the past. It only has 9 per cent market share, so there is little real opportunity for expansion. It amazes me it lasted so long. Eventually it will be forced into selling cheap trash in segment zero and then we'll see how unimportant a few dollars of margin turn out to be. Stocks fall out of fashion. People are late to hop on winners. There are only a couple of billion of PC's to be sold, and as soon as they are, they'll have to start replacing them again. Really a stagnant market. Time to get into something reliable like department stores.