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

To: Chuzzlewit who wrote (126333)	5/18/1999 6:51:00 PM
From: hdl	Read Replies (1) \| Respond to of 176387

Chuzz, my belated best wishes and prayers. Long ago I posted re dilution from stock options and,alternatively, lack of profit, if stock options were treated as cost of wages. I cited a number of articles to that effect. I do not recall much support from this thread. I welcome you to the camp on this point.

To: Chuzzlewit who wrote (126333)	5/18/1999 7:02:00 PM
From: Paul Merriwether	Read Replies (3) \| Respond to of 176387

<< Can you say employee stock options (the gift that keeps on giving)? >> if there were no eso's there would be wage inflation(to retain the "talent") resulting in cpi increases etc which would ultimately cause a raging 70's style inflation(and your favorite stocks will take a little dip!). believe me, its impossible to attract or retain good people these days w/o sweetening the pot with stock options. and i think the employees feel a greater loyalty towards their company when they feel like they are part owners(and this translates into higher productivity).

To: Chuzzlewit who wrote (126333)	5/18/1999 11:05:00 PM
From: BGR	Read Replies (1) \| Respond to of 176387

CTC, ESOPs are nothing new in DELL. My position is that not enough money was diverted to share buy backs this quarter. Note that cash and other securities increased at a much faster rate this quarter (26%) than in the previous quarter for example (13%). Given that DELL has little debt, high CCC, low R&D cost I am not very happy about this. granted, it is not cash but other securities that had most of the growth. But, while DELL's cash position hardly increased last quarter, this quarter there was a 20% increase. I know that DELL is getting ready to build a lot of new plants so it may need the cash, but the IBM example (MM notwithstanding) tells me that floating debt would have been a better way to fund that. Also, DELL grew at 3 1/2 times the market last quarter, this quarter the growth is 2 1/2 times. Still stellar, but worrisome, at least to me. And, DELL is still below the 10% of the market, so size may not be an excuse. Even MD was anticipating a 3 times the market rate of growth for the next 4-5 years, this is not encouraging (but it may just be a Q1 issue). -BGR.