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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (18591)	3/23/1999 8:41:00 AM
From: Teflon	Respond to of 74651

--OT-- t2k, I would wait at least a week before jumping in. I have a bad feeling about the pc makers right now and I don't think the damage is finished. Remember, DELL's PE is still ~ 60 based on forward looking earnings. Teflon

To: t2 who wrote (18591)	3/23/1999 9:15:00 AM
From: Ex-INTCfan	Respond to of 74651

OT re Dell, This is only the third time in the past year that Dell has dropped below its 100 day MA. Both other times it quickly rebounded. The second time, last October, it first dropped below its 200 day MA before rebounding. Current 200 day MA is at around 34, so a market order at about that level would be an absolute steal, but not a guarantee of a purchase. 36 should do it, and would be a great price for a long-term holder. 34 would be a better level for those out for a quick dollar, and there is an even-odds chance of getting to 33-34 in the next 4 days. If it does, my feeling is it will rebound, not go lower. To say otherwise is to say that Dell is about to reverse its multi-year trend when it still has so much going for it. But these are just technical factors. The real reason to buy Dell is that the fundamentals are sound. Someone is buying all the Intel chips that drove its book to bill ratio up to 1.17. It doesn't appear to be Compaq (with their increased inventory) or Micron. We've got the deal with IBM, giving Dell great costs, and access to new technology and service. We've got gigabuys.com. We've got rapidly increasing Internet usage -- placing more people on Dell's sales platform for future upgrades. Most importantly, we've got great management, which is the real key to a stock purchase. That's why I keep Dell, MSFT and CSCO as long-term holds. Dell's next rebound should help give the market enough momentum for the Dow to break 10,000 -- I can't see that happening without Dell moving up. JMHO Congrats on your purchase -- Looks like you will buy today. INTCfan