Gosh, I had plumb forgot about the lawsuit alleging that Dell
That lawsuit also alleged that Dell management misled its shareholders not only on accounting, but also on quality control and customer service issues, which, as we have established, already seem fairly well-known.
My formidable foe in this Duel, Matt, stretches to make a couple of points regarding Dell's cash cushion and the possibility that most of the bad news is already priced into the stock. However, I'd interpret Dell as having one heck of a risk profile, given its veritable cornucopia of problems to address, and when there's a lot of risk, investors would generally like to see a lot of growth. That seems endangered at the moment, and I'd say it makes a double-digit multiple look pricey.
Investors are still waiting for the other shoe to drop, and so much hangs in the balance, since unanswered questions seem to be in oversupply right now. I can't help but think there might be ample opportunities for cheaper entry points than this for value investors who have the will to take a stake in this currently troubled company.