From Nasdaq: 2024-11-22 09:33:00

Dell Technologies (DELL) is set to release its third-quarter fiscal 2025 results on Nov. 26. Expectations include revenues of $24-$25 billion and earnings of $2 per share (+/- 10 cents), indicating 10% growth.

The Zacks Consensus Estimate for revenues is $24.53 billion, with earnings expected at $2.05 per share. Dell has beaten earnings estimates in the last four quarters with an average surprise of 16.32%.

Dell’s third-quarter results are expected to benefit from strong demand for AI-optimized servers, although consumer revenues declined in the last quarter. Sluggish PC shipments are a concern, with Dell witnessing a 3.9% decline in worldwide PC shipments in the third quarter of 2024.

Despite challenges in the PC market, Dell shares have outperformed peers, returning 81.6% year-to-date. With a Value Score of B and a forward P/E of 14.89X, Dell stock is considered cheap compared to the industry average.

Dell’s partnership with NVIDIA and other tech giants has driven demand for AI servers. The company’s AI Factory launch and collaborations with Ericsson and Nutanix aim to enhance its offerings in cloud infrastructure and storage solutions.

Investors should consider Dell’s expanding partner base and growth prospects when evaluating the stock. While the company’s shares are trading above moving averages, challenges in the PC market may impact short-term performance. Dell currently holds a Zacks Rank #3 (Hold).

For more insights on Dell Technologies and other potential investment opportunities, check out the latest recommendations from Zacks Investment Research. Dell’s Growth Score of B and its bullish trend on the stock market make it an attractive choice for long-term investors.



Read more at Nasdaq: DELL Set to Report Q3 Earnings: Buy, Sell or Hold the Stock?