Technology Sector 10/9

Microsoft -- MSFT

Closed last week at 27.87 up .67

News of note:

Google is buying YouTube ($1.65 bill). This will give Google dominance in the online video market and strengthen their advertising revenue position. Bad news for MSFT's MSN video.

Microsoft released the final test version of Vista on Friday...now just weeks away from rolling out Vista and Office 2k7. This should cause at least a temporary upward swing in Dell's numbers, as people will be looking to purchase/upgrade PCs for the new software. I'm starting to think Dell is looking good again.

Dell

Price - 23.56
52wk range - 18.95-33.34
52wk change - (27.52%)
5 year growth rate - 11.88%
operating cash flow - $4.43B

From Morningstar:

	Stock	Industry	S&P 500	Stock's 5Yr Average*
Price/Earnings	16.4	25.7	20.8	36.5
Price/Book	15.7	5.0	4.0	15.8
Price/Sales	0.9	2.0	2.8	2.0
Price/Cash Flow	11.3	19.7	14.5	20.0

Anybody else thinking Dell looks pretty good?