Recommendation: Buy
| Entry Date | Symbol | Recommendation | Entry Price (USD) | Target 1 (USD) | Target 2 (USD) | Holding Duration | Potential Upside* |
|---|---|---|---|---|---|---|---|
| 5 Mar, 25 | DELL | Buy | USD 94.07 | USD 99.71 | USD 105.36 | 19 days | 12.0% |
*Potential Upside (%) indicates the expected percentage increase from the Entry Price to the Target 2 Price.
Data Powered by EOD Historical Data (“EODHD”).
Dell Technologies Inc. designs, develops, manufactures, markets, sells, and supports various comprehensive and integrated solutions, products, and services in the Americas, Europe, the Middle East, Asia, and internationally. The company operates through two segments, Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG). The ISG segment provides modern and traditional storage solutions, including all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage; and general-purpose and AI-optimized servers. This segment also offers networking products and services comprising wide area network infrastructure, data center and edge networking switches, and cables and optics that help its business customers to transform and modernize their infrastructure, mobilize and enrich end-user experiences, and accelerate business applications and processes; software and peripherals; and consulting, support, and deployment services. The CSG segment provides desktops, workstations, and notebooks; displays, docking stations, keyboards, mice, webcam, and audio devices; and third-party software and peripherals, as well as configuration, support and deployment, and extended warranty services. It is involved in cybersecurity technology-driven security solutions to prevent security breaches, detect malicious activity, respond rapidly when a security breach occurs, and identify emerging threats; originating, collecting, and servicing customer financing arrangements; and the resale of VMware products and services. The company serves enterprises, public institutions, and small and medium-sized businesses through its direct sales channel, value-added resellers, system integrators, distributors, and retailers. The company was formerly known as Denali Holding Inc. and changed its name to Dell Technologies Inc. in August 2016. Dell Technologies Inc. was founded in 1984 and is headquartered in Round Rock, Texas.
Profitability: Q4 FY25 EPS rose 18%, reflecting operational efficiency, ISG performance, and disciplined cost management
AI Leadership: AI leadership reinforced with a USD 9 billion backlog and USD 295 billion TAM by 2027, positioning Dell at the forefront of AI infrastructure
Profitability Outlook: FY26 gross margin expected to contract by 100 basis points, reflecting ongoing AI investments and pricing pressure
Consumer PC Demand: Weak consumer PC demand, with a 12% revenue drop in Q4, driven by subdued market appetite and aggressive discounting
Supply Chain Disruptions, Profitability Pressure, Execution Risks, Macroeconomic and Geopolitical Risks
| Entry Price | Support* | Target 1 | Target 2 |
|---|---|---|---|
| 94.07 | 82.78 | 99.71 | 105.36 |
Data Source: REFINITIV, Analysis: StockNextt
*Support can be considered as an indicative stop-loss, and if prices move below that level on closing basis individuals may evaluate exiting the position depending on their risk appetite, previous holdings, and other factors considered. The support and resistance levels may need to be re-evaluated within 4-6 weeks’ time frame depending on the stock price movements from the date of recommendation on the stock.
Considering Dell Technologies’ robust momentum in AI innovation, including the launch of five AI-optimized platforms like the PowerEdge XE9712 and partnerships with companies such as NVIDIA, xAI, and AMD, expanding market demand for AI-driven servers and PCs, valuation upside potential from its USD 15 billion AI server shipment forecast and USD 9 billion AI backlog, and key risks, a " Buy" recommendation is given on the stock at the closing market price of USD 94.07, as of March 04, 2025.
Data Powered by EOD Historical Data (“EODHD”).
Sector: Technology Industry: Computer Hardware
| Company | Change (USD) | Price (USD) | Trailing PE (x) | Forward PE (x) | Price Sales TTM (x) | Price to Book Value (x) | Enterprise Value to Revenue (x) | Enterprise Value to EBITDA (x) |
|---|---|---|---|---|---|---|---|---|
| DELL Dell Technologies Inc |
0.80 0.88% | 91.95 | 19.41 | 11.81 | 0.83 | 4.39 | 1.02 | 10.88 |
| ANET Arista Networks |
0.36 0.46% | 77.84 | 39.49 | 31.45 | 13.08 | 11.15 | 12.18 | 31.54 |
| SMCI Super Micro Computer Inc |
0.96 2.80% | 35.20 | 49.25 | 28.90 | 5.69 | 17.11 | 5.65 | 57.68 |
| CAJFF Canon Inc |
- -% | 30.64 | 15.35 | 12.14 | 0.0071 | 1.35 | 1.14 | 7.50 |
| CAJPY Canon Inc. |
0.19 0.61% | 31.37 | 16.33 | 11.29 | 0.0071 | 1.45 | 1.14 | 7.50 |
Data Powered by EOD Historical Data (“EODHD”).
Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.
Note 1: Past performance is not a reliable indicator of future performance.
Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is March 04,2025. The reference data in this report has been partly sourced from REFINITIV.
Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock.
Target: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Target 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Target 2 may act as the crucial resistance level for the stock.
Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.
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