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If PC commercials are right, Dell should keep on rising

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Have you seen those commercials where the young woman or the mom and her kid go into a big box electronics store looking for a new laptop, and when they go inside, they discover that PCs are tons cheaper than Macs so they end up buying the PC?

Well, if those commercials are right, Q3 should be a great quarter for computer makers like Dell Inc. (NASDAQ: DELL).

Dell announced its earnings on Thursday. And while the company announced that net income actually fell 23% from this same time last year, it did manage to beat Wall Street's expectations -- which is always a good sign for a company.

The bigwigs at Dell also said they also expect sales in Q3 and Q4 to grow as the economy recovers. And if consumers really are going for lower costs over higher fashion (as the commercials suggest), Dell may be on to something.


Wade Hansen is an analyst at Learning Markets

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Last updated: November 22, 2009: 04:54 AM

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