Comments on: Dell Stock Looks Attractive After Last Week’s Selloff http://www.peridotcapitalist.com/2007/12/dell-stock-looks-attractive-after-last.html Stock market and investing blog published by Chad Brand, Founder/President of Peridot Capital Sat, 11 Feb 2012 23:26:23 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Joey http://www.peridotcapitalist.com/2007/12/dell-stock-looks-attractive-after-last.html/comment-page-1#comment-775 Joey Wed, 05 Dec 2007 03:07:00 +0000 http://www.peridotcapitalist.com/?p=528#comment-775 To the responder - You're being too bearish on Dell. You and me know it's a really good company, and if you think it's under valued now why wait to buy it if you think it's going to go up? Too often value investors just wait and wait and wait for a stock to get sufficiently under valued, but they're sitting idly by watching the stock's price shoot up while they're waiting for it to drop. To the responder – You’re being too bearish on Dell. You and me know it’s a really good company, and if you think it’s under valued now why wait to buy it if you think it’s going to go up? Too often value investors just wait and wait and wait for a stock to get sufficiently under valued, but they’re sitting idly by watching the stock’s price shoot up while they’re waiting for it to drop.

]]> By: John Christy http://www.peridotcapitalist.com/2007/12/dell-stock-looks-attractive-after-last.html/comment-page-1#comment-770 John Christy Wed, 05 Dec 2007 00:56:00 +0000 http://www.peridotcapitalist.com/?p=528#comment-770 I looked at Dell and it still doesn't look like much to get excited about from a fundamental perspective. They don't seem to be too profitable, their assets are alright but not anything to note, their P/E is average, and most importantly, their business doesn't seem to be too strong at this point. They're seeing tons of competition from web based OEM PC-Building companies that offer great performance and specs for a low price, but with almost non-existant customer service.<br/><br/>While I have always liked Dell, most people who would consider ordering from Dell have no problem whatsoever buying from "eBuyPower.com" and the like... I think this may be why Dell is beginning to look into the retail sector to find customers who generally would not seek out Dell on a first instinct - think the less computer-savvy who tend to buy their PCs at Walmart or Best Buy.<br/><br/>I was looking to buy a PC a while back and outside of the sketchy PC Building companies, Dell consistently offered the best products and prices so that's a big upside.<br/><br/>I'd look for Dell to drop a bit more before looking to buy. It's obvious they will never go out of business but at the same time I don't see too much at the moment insulating the down side. Sour news or bad earnings reports could easily drop the stock lower and their fundamentals aren't great enough right now to guarantee a quick bounce back... I do agree however with your assessment of a 20% upside over the months, as Dell should easily be a bit higher. I'm just not sure yet if the market will cooperate. I looked at Dell and it still doesn’t look like much to get excited about from a fundamental perspective. They don’t seem to be too profitable, their assets are alright but not anything to note, their P/E is average, and most importantly, their business doesn’t seem to be too strong at this point. They’re seeing tons of competition from web based OEM PC-Building companies that offer great performance and specs for a low price, but with almost non-existant customer service.

While I have always liked Dell, most people who would consider ordering from Dell have no problem whatsoever buying from “eBuyPower.com” and the like… I think this may be why Dell is beginning to look into the retail sector to find customers who generally would not seek out Dell on a first instinct – think the less computer-savvy who tend to buy their PCs at Walmart or Best Buy.

I was looking to buy a PC a while back and outside of the sketchy PC Building companies, Dell consistently offered the best products and prices so that’s a big upside.

I’d look for Dell to drop a bit more before looking to buy. It’s obvious they will never go out of business but at the same time I don’t see too much at the moment insulating the down side. Sour news or bad earnings reports could easily drop the stock lower and their fundamentals aren’t great enough right now to guarantee a quick bounce back… I do agree however with your assessment of a 20% upside over the months, as Dell should easily be a bit higher. I’m just not sure yet if the market will cooperate.

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