Dell was one of the most successful computer seller for many years. In 2005 the shares were selling at around $50. But the world moved on and Dell didn't, the shares dropped as low as $10. They now trade at just under $20 after a slow climb back.
What the Market is Missing
Dell slowly is transforming itself into a service and hardware company copying the success of IBM and HP. The value is no longer the boxes sold but the hooks into major corporations to provide support and services which are a growing component of its revenue. Dell acquired Perot systems and the integration of Perot a successful top tier service company with Dell the box shifter is now taking place.
My View
Dell shares will rise in 2012 to around $25, but the company is set to grow much more over the next 5 years and the shares may double during that time.
What the Market is Missing
Dell slowly is transforming itself into a service and hardware company copying the success of IBM and HP. The value is no longer the boxes sold but the hooks into major corporations to provide support and services which are a growing component of its revenue. Dell acquired Perot systems and the integration of Perot a successful top tier service company with Dell the box shifter is now taking place.
My View
Dell shares will rise in 2012 to around $25, but the company is set to grow much more over the next 5 years and the shares may double during that time.
No comments:
Post a Comment
Please leave me any comments. I look forward to replying.