Dell’s stock was upgraded by Deutsche Bank based on the firm’s belief that it has “better visibility” into the company’s near term prospects. The new price target is $28. The stock trades at $25.50, so investors might argue that the slightly higher price does not show boundless confidence on Deutsche’s part.It is hard to say what might go well at Dell, at least this year. For a stock that has been pounded in the press and on Wall St., Dell actually is trading OK. The stock has run from under $20 in July to over $25. The stock was, however, over $41 just a year-and-a-half ago.Conventional wisdom says that Dell will bleed until Microsoft Vista comes out and pushes PC sales back up. During the holidays, Dell and its competitors will cut prices to bring in customers ahead of the Vista launch in early 2007. Some customers will simply pass and wait for the new Microsoft OS no matter how attractive the pricing is.Looking over Deutsche Bank’s shoulder, Dell does not look so hot. At least not until next year.Douglas A. McIntyre can be reached at [email protected]. He does not own securities in companies that he writes about.
Better Visibility At Dell (DELL)(MSFT)
Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.
McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.
His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.
A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.
TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.
McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.
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