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Michael Dell's Conflict of Interest Will Hurt Shareholders

To that end, I don't believe it serves the interest of shareholders that Michael Dell remains in his CEO role, at least not until the Sept. 12 vote occurs. There is an obvious conflict of interest here. That this divergence has not already been raised is surprising. I don't believe Michael Dell wants the company to show any signs of life until he and Silver Lake Partners, get what they want. It's human nature.

Look, I don't have a dog in the fight. But if Michael Dell believes he can fix Dell's struggles by going private, so be it. From my vantage point, though, I believe that any route Dell is able take from here is much better than the status quo. But here's the thing; I also can't ignore the progress that rival Hewlett-Packard (HPQ) has made under Meg Whitman, albeit modest improvements.

Let's not also discount how well Lenovo (LNVGY) seems to be adapting to the global PC decline while the company has begun a meaningful transition into its own line of mobile devices. There are now rumors that Lenovo may buy BlackBerry, which makes plenty of sense.

In that regard, Dell gets no sympathy from me. Michael Dell wants take his ball and go home. Everyone wants to go out on his or her own terms, and that's fine. But let's not make it about "what's best for Dell." He's not riding off into the sunset. We're beyond that now. What's best for shareholders, in the meantime, is that he removes himself to preserve the integrity of this whole process.

At the time of publication, the author was long AAPL.

This article was written by an independent contributor, separate from TheStreet's regular news coverage.

Stock quotes in this article: DELL, HPQ, AAPL, BBRY, LNVGY 
Richard Saintvilus is a co-founder of StockSaints.com where he serves as CEO and editor-in-chief. After 20 years in the IT industry, including 5 years as a high school computer teacher, Saintvilus decided his second act would be as a stock analyst - bringing logic from an investor's point of view. His goal is to remove the complicated aspect of investing and present it to readers in a way that makes sense.

His background in engineering has provided him with strong analytical skills. That, along with 15 years of trading and investing, has given him the tools needed to assess equities and appraise value. Richard is a Warren Buffett disciple who bases investment decisions on the quality of a company's management, growth aspects, return on equity, and price-to-earnings ratio.

His work has been featured on CNBC, Yahoo! Finance, MSN Money, Forbes, Motley Fool and numerous other outlets.

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