The last time we discussed Dell Inc. ( DELL ) stock, I purchased shares around the $105 level back in January. Now, given the post-liberation day panic and subsequent recovery, Dell's stock has been on a very wild ride in recent months. Nonetheless, despite taking aAre You Getting The Returns You Want? Invest alongside the Financial Prophet's All-Weather Portfolio (2024 69% return) and achieve optimal results in any market.The Daily Prophet Report provides crucial information before the opening bell rings e ...

Core Insights - Dell Technologies is set to report earnings on May 29, 2025, with analysts expecting earnings of $1.69 per share and sales of $23.2 billion, an improvement from the previous year's earnings of $1.27 per share and sales of $22.2 billion [2] - Historically, Dell has experienced a negative one-day return following earnings announcements in 53% of cases over the past five years, with a median decline of -4.9% and the largest drop being -17.9% [1][6] Financial Performance - Dell Technologies has a market capitalization of $80 billion and generated $96 billion in revenue over the last twelve months, with operating profits of $6.2 billion and net income of $4.6 billion [3] - The company has recorded 19 earnings data points in the last five years, with 9 positive and 10 negative one-day returns, resulting in positive returns approximately 47% of the time [6] Trading Strategies - Traders may consider pre-earnings positioning based on historical odds and post-earnings positioning by analyzing the relationship between immediate and medium-term returns [5] - A strategy involving the correlation between short-term and medium-term returns can be employed, where a positive 1D return may lead to a long position for the next 5 days if 1D and 5D returns show high correlation [4]

Core Insights - The white paper highlights significant transformations in the global memory market driven by advancements in AI technology, increasing server storage demands, and upgrades in consumer storage products [19] Group 1: Global Memory Market Changes and Technological Developments - High-density 3D NAND Flash storage is continuously improving, with advancements in read/write performance, power consumption, durability, and cost [2][36] - The complexity of etching and deposition processes increases with the number of layers in NAND Flash, leading to challenges that manufacturers are overcoming through various techniques [2][41] - Major manufacturers like Samsung and SK Hynix are focusing on mass production plans for NAND Flash with over 300 layers, utilizing Wafer-to-Wafer bonding technology [2][41] Group 2: Server NAND and DRAM Application Growth - The expansion of global data center infrastructure and increased investment in AI infrastructure are driving the growth of server storage demand [3][9] - In 2024, the application shares of NAND in servers, mobile devices, and PCs are projected to be 30%, 31%, and 14% respectively, with server NAND application share expected to rise to 30% by 2025 [4][43] - For DRAM applications, the shares in servers, mobile devices, and PCs are expected to be 34%, 32%, and 14% in 2024, with server DRAM application share anticipated to grow to 36% by 2025 [5][47] Group 3: Storage Technology and Application Outlook - QLC NAND is improving in performance and reliability, making it suitable for read-intensive applications, particularly in computing centers [6][51] - The rise of AI PCs is driving the growth of PCIe 4.0/5.0 SSD applications in the consumer market, with an expected penetration rate of 35% by 2025 [7][58] - Manufacturers are actively expanding into overseas markets, particularly in Southeast Asia, Latin America, and Africa, where the SSD market holds significant potential [8][71] Group 4: AI Server Storage Demand - There is a surge in capital expenditure for AI infrastructure, significantly increasing the demand for AI servers [9][72] - The global HBM market is projected to reach $16 billion in 2024 and grow to $30 billion by 2025, accounting for 28% of the global DRAM market [11] - The demand for enterprise-grade PCIe 5.0 SSDs is rapidly increasing, with an expected shipment share of 30% by 2025 [12][50] Group 5: Consumer Storage Product Applications and Developments - Global PC shipments are expected to see a slight increase of 3% in 2025, with AI PC penetration reaching 35% [13][58] - The global smartphone shipment volume is projected to reach approximately 1.184 billion units in 2024, with NAND capacity expected to exceed 220GB by 2025 [15][16] - AI glasses are emerging as a significant consumer electronics product, with shipments expected to rise from 2 million units in 2024 to 10 million units in 2025 [17][18]

Dell Technologies (NYSE: DELL ) is set to report earnings on May 29, 2025, after the market close. Despite waning expectations by analysts, lowering revenue and earnings forecasts going into the start of FY 2026, investments in building out data center capacity remain strong. I believe DELLMichael Del Monte is a buy-side equity analyst with over 5 years of industry experience. Prior to working in the investment management industry, Michael spent over a decade in professional services working across industri ...

Group 1 - The demand for AI-supportive servers has significantly improved investor sentiment towards Dell, which was previously viewed as a legacy stock [1] - Dell's stock price has more than tripled from 2022 to mid-2024, reaching an all-time high (ATH) above $150 [1] - The focus on long-term growth and dividend growth investing highlights the importance of profitability, margins, free cash flow stability, and returns on invested capital [1]

Core Insights - Dell Technologies Inc. operates in the computer hardware industry and has expanded into the AI infrastructure market [1] - The company has two main segments: the Infrastructure Solutions Group (ISG) and the Client Solutions Group (CSG) [1] - Approximately 50% of the company's revenue comes from the U.S. market [1]

Core Insights - Dell Technologies is set to report its first-quarter fiscal 2026 results on May 29, with expected revenues between $22.5 billion and $23.5 billion, indicating a 3% year-over-year growth at the midpoint of $23 billion [1] - The Zacks Consensus Estimate for revenues is $23.10 billion, suggesting a 3.86% growth from the previous year, while the consensus for earnings is $1.71 per share, reflecting a year-over-year growth of 34.65% [2] Financial Performance - Dell Technologies has consistently beaten the Zacks Consensus Estimate in the last four quarters, with an average earnings surprise of 5.13% [3] - The anticipated revenue growth for the combined Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG) is 6% year-over-year at the midpoint, with ISG expected to grow in the low teens and CSG revenues expected to remain flat [5] Market Dynamics - The ISG revenues are estimated at $10.379 billion, indicating an 11.2% year-over-year growth, while CSG revenues are pegged at $12.237 billion, suggesting a 2.25% year-over-year growth [6] - The demand for AI-optimized servers is expected to have positively impacted Dell's fiscal first-quarter results, driven by digital transformation and interest in generative AI applications [4][7] Competitive Position - Dell Technologies' leadership in AI-optimized servers, including the PowerEdge 9680, has contributed to its growth, with a reported increase of $1.7 billion in AI server orders in the previous quarter [7] - The company's shares have underperformed the broader Zacks Computer & Technology sector year-to-date, losing 2.7% compared to the sector's 3.6% return, attributed to macroeconomic challenges and trade tensions [8] Valuation Metrics - Dell Technologies shares are considered undervalued, with a Value Score of B and a forward 12-month price-to-sales ratio of 0.75X, significantly lower than the sector's average of 6.12X [11] Strategic Partnerships - Dell's expanding partner base, including collaborations with NVIDIA, Microsoft, and Meta Platforms, is likely to have driven growth during the fiscal first quarter [13][14][15] - The partnership with NVIDIA aims to accelerate enterprise AI adoption, which is expected to reflect positively in the upcoming quarter's performance [14]

Group 1: Upcoming Earnings Reports - Nvidia, Costco, Dell, and Salesforce are expected to release quarterly reports that could significantly impact their sectors and the broader market [1] - AutoZone and Okta are set to report on Tuesday, with AutoZone's stock being a solid performer and Okta anticipated to have a strong quarter [2] - Dick's Sporting Goods and Macy's will report on Wednesday, with Macy's being labeled as a "chronically underperforming department store chain" [3] Group 2: Company-Specific Insights - Nvidia's stock is currently in a precarious position, but there are expectations for discussions around its growing software arm during earnings [4] - Salesforce's future revenue growth is uncertain, with mixed opinions on its agentic AI platform's impact, and there are rumors of renewed acquisition talks for Informatica [4] - Costco typically reports consistent earnings, but its stock tends to decline post-earnings announcements, suggesting investors should wait before buying [5] Group 3: Market Context and Economic Indicators - The Labor Department will release a key inflation metric, the personal consumption expenditures report, which is crucial for understanding inflation trends amid rising tariffs [6] - Marvell Technology and Dell are both considered integral to the data center sector, with Dell expected to report strong results despite speculation about Marvell's performance [6]

Core Viewpoint - Analysts forecast that Dell Technologies will report quarterly earnings of $1.71 per share, reflecting a year-over-year increase of 34.7% and revenues of $23.1 billion, which is a 3.9% increase compared to the previous year [1]. Earnings Projections - Over the past 30 days, the consensus EPS estimate has been adjusted upward by 8%, indicating a reassessment of initial projections by covering analysts [2]. - Changes in earnings projections are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate trends and short-term stock price movements [3]. Revenue Estimates - Analysts project 'Net Revenue- Client Solutions Group' to reach $12.24 billion, a change of +2.3% year-over-year [5]. - 'Net Revenue- Infrastructure Solutions Group' is expected to be $10.38 billion, reflecting a +12.5% change from the previous year [5]. - 'Net Revenue- Other businesses' is estimated at $497.04 million, indicating a significant decline of -52.6% year-over-year [5]. Segment Analysis - 'Net Revenue- Client Solutions Group- Consumer' is projected at $1.61 billion, suggesting an -11.1% change year-over-year [6]. - 'Net Revenue- Infrastructure Solutions Group- Storage' is expected to reach $3.93 billion, indicating a +4.4% change [6]. - 'Net Revenue- Client Solutions Group- Commercial' is forecasted at $10.63 billion, reflecting a +4.6% change [7]. - 'Net Revenue- Infrastructure Solutions Group- Servers and networking' is anticipated to be $6.45 billion, showing an +18% change [7]. Operating Income Estimates - 'Operating Income- Client Solutions Group' is estimated at $685.69 million, down from $732 million year-over-year [8]. - 'Operating Income- Infrastructure Solutions Group' is projected to reach $1.13 billion, up from $736 million in the previous year [8]. Stock Performance - Over the past month, Dell Technologies shares have increased by +18.6%, outperforming the Zacks S&P 500 composite's +10.7% change [8].

Core Insights - The article discusses the benefits of subscribing to Beyond the Wall Investing for access to high-quality equity research reports, potentially saving thousands of dollars annually [1] - It highlights a previous article on Dell Technologies Inc. (NYSE: DELL) that had a "Strong Buy" rating, indicating a positive outlook for the stock [1] Company Analysis - Dell Technologies Inc. is positioned for significant growth, as indicated by the previous analysis suggesting a strong investment opportunity [1] - The investing group Beyond the Wall Investing offers features such as a fundamentals-based portfolio and weekly insights from institutional investors, which can enhance investment decision-making [1] Investment Strategy - The article emphasizes the importance of technical signals for short-term trade ideas and provides community engagement through ticker feedback and chat [1] - There is a potential for initiating a long position in DELL stock or related derivatives within a short timeframe, indicating a proactive investment approach [1]