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Dell Shares Fall after Q3 Profit Plummets 54%, Missing View (DELL)(Baystreet Stocks to Watch (Canada) Via Acquire Media NewsEdge) PC maker Dell Inc. (DELL) said late Thursday that its third-quarter profit plunged 54% from last year, hurt by lower revenue. The Round Rock, Texas-based company reported third-quarter net income of $337 million, or 17 cents per share, down from $727 million, or 37 cents per share, in the year-ago period. Revenue fell 15% from last year to $12.9 billion. On average, Wall Street analysts expected a much higher profit of 28 cents per share, on larger revenue of $13.2 billion. Dell also lost its number-two ranking among PC makers to Rival Acer, Inc., while Hewlett-Packard (HPQ) remains atop the list. Dell shares fell $1.09, or 6.9%, in pre-market trading Friday. The Bottom Line Shares of Dell are off 52-week highs of $17 a share. The stock has technical support in the $13-$14 price area. If the shares can firm up, there could be overhead resistance around the $17-$18 price levels. This non-dividend paying stock is not currently rated, but experts follow the company closely. © 1998 - 2009 Baystreet.ca Media Corp. All rights reserved. |