While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies.Considering these trends, value investing is clearly one of the most preferred ways to find strong stocks in any type of market. Value investors use tried-and-true metrics and fundamental analysis to find companie ...

Investment Rating - The report maintains a "Buy" rating for the company, expecting a stock price increase of over 15% relative to the industry index within the next six months [23]. Core Views - The company reported a revenue of $88.425 billion for FY2024, a decrease of 14% year-on-year, but achieved a net profit of $3.211 billion, which is a 31.5% increase year-on-year [2][25]. - The fourth quarter of FY2024 showed strong earnings performance, with a diluted EPS exceeding previous guidance at $4.09 per share, driven by effective cost control measures [3][7]. - The company anticipates a recovery in the PC market, with the CSG business expected to achieve low single-digit growth in FY2025 due to a replacement cycle and strong demand in the commercial market [6][7]. Financial Performance - For FY2024 Q4, the company reported revenues of $22.318 billion, a decline of 11% year-on-year, but a net profit of $1.160 billion, reflecting an 89% increase year-on-year [2][3]. - The gross margin for FY2024 Q4 was 23.8%, an increase of 0.8 percentage points year-on-year, while the net margin was 5.2%, up by 2.8 percentage points year-on-year [3]. - The company expects ISG revenue to grow by 14%-19% year-on-year in Q1 FY2025, contributing to an overall revenue forecast of $210-220 billion for the quarter [28]. Business Segments - The ISG segment reported revenues of $9.332 billion for FY2024 Q4, down 6% year-on-year, primarily due to delayed recovery in storage demand [3]. - The CSG segment generated revenues of $11.715 billion for FY2024 Q4, a decrease of 12% year-on-year, attributed to weak demand in the PC market [3]. - AI-optimized server sales reached $800 million in FY2024 Q4, with a 40% increase in order value quarter-on-quarter, indicating strong demand driven by AI [3][7]. Future Outlook - The company projects FY2025 overall revenue to be in the range of $910-950 billion, with ISG revenue expected to grow by 14%-16% year-on-year [28]. - The report highlights that the recovery in the PC market, driven by the end of Windows 10 support and advancements in AI architecture, will support growth in the CSG segment [6][7]. - The company has adjusted its profit forecasts, estimating net profits of $3.211 billion, $4.268 billion, and $4.812 billion for FY2024, FY2025, and FY2026 respectively, with corresponding EPS of $4.51, $6.00, and $6.76 [7][25].

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Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Artificial intelligence (AI) has been a key sector within the stock market. Many investors have poured their capital into the top AI stocks to buy, but there is plenty of risk. The technology is innovative, but corporations have been rushing to mention artificial intelligence initiatives. Many investors have gobbled up those mentions, but not every AI initiative will pan out.Artificial intelligence can enhance a company. However, the technology is extremely unlikely to fix unprofitable companies or firms th ...

In today's video, I discuss recent updates impacting Dell Technologies (DELL -3.31%). Check out the short video to learn more, consider subscribing, and click the special offer link below.*Stock prices used were the market prices of March 4, 2024. The video was published on March 5, 2024. ...

Summary of Dell Technologies Inc. Conference Call Company Overview - **Company**: Dell Technologies Inc. (NYSE: DELL) - **Participants**: - Yvonne McGill - CFO - Arthur Lewis - President, ISG Business - **Conference Date**: March 5, 2024 Key Points Financial Performance - **Fiscal Year 2024 Results**: - Revenue: $88.4 billion - EPS: $7.13 - Cash Flow from Operations: $8.7 billion [5][6] - **Q4 Performance**: - Revenue: $22.3 billion - EPS: $2.20 [6] Market Outlook - **Fiscal Year 2025 Guidance**: - Revenue Growth: Approximately 5% - EPS Growth: Approximately 5% [8] - **AI Backlog**: - Entered FY '25 with a $2.9 billion AI backlog and pipeline [7] Industry Trends - **PC Market**: - Anticipated growth of 2% to 3% in the CSG (Client Solutions Group) business for FY '25, following an 8-quarter digestion cycle [12][11] - Drivers for growth include Windows 10 refresh and aging installed base [12] - **Input Costs**: - Expected increase in commodity and component costs impacting pricing and margins [14][16] ISG Business Insights - **ISG Growth**: - Projected mid-teens growth for FY '25, up from previous guidance of 6% to 8% [18][19] - AI market projected to grow at a 20% CAGR, with a TAM of $152 billion by 2027 [19] - **On-Premise Data Preference**: - 83% of the world's data remains on-premises, with a strong preference for on-premise deployment of generative AI [20] Competitive Advantages - **Differentiation Factors**: - Comprehensive portfolio including AI-optimized servers and storage solutions [35][39] - Strong partnerships with companies like Hugging Face and Meta [39] - Extensive sales team and supply chain capabilities [40] Generative AI Opportunities - **Market Position**: - Dell is positioned to capture significant opportunities in generative AI, with $1.5 billion in AI server revenue recognized and a $3 billion backlog [28][29] - **Use Cases**: - Key use cases include software development, sales chatbots, customer service, and content creation [49] Capital Returns and Shareholder Value - **Capital Return Commitment**: - Commitment to return over 80% of free cash flow to shareholders, with a 20% annual dividend increase announced [58][59] - **Stock Buybacks**: - Ongoing stock repurchase program due to perceived undervaluation [60] Conclusion - **Overall Sentiment**: - Optimism for FY '25 driven by AI growth and recovery in traditional server markets, despite challenges in enterprise spending [7][26]

In a previous column, published on Feb. 28, I predicted that medium-cap and small-cap stocks would surge, powered by their “favorable fundamentals and low valuations.” Last week, the latter process did indeed occur to a very large extent. Meanwhile, boding well for the tech sector. the artificial intelligence boom is spreading to many more stocks. And in a phenomenon that’s lifting many consumer discretionary equities, investors’ confidence in the economy appears to be rapidly improving. All in all, it does ...

Dell MDR service is now available with the AI-native CrowdStrike Falcon® XDR Platform, delivering the speed, expertise and flexibility customers need to respond to threatsAUSTIN, Texas and ROUND ROCK, Texas, March 5, 2024 /PRNewswire/ -- Dell Technologies (NYSE: DELL) and CrowdStrike (Nasdaq: CRWD) announced an expanded strategic partnership to deliver Dell's Managed Detection and Response (MDR) services with the industry-leading AI-native CrowdStrike Falcon® XDR platform, helping customers defend against i ...

The artificial-intelligence revolution is in full swing, not only lighting a fire under the stocks of leading chipmakers like Nvidia, but also less well-regarded "commoditized" server-makers such as Super Micro Computer (SMCI 18.65%) and its "boring," "old tech" rival, Dell Technologies (DELL -2.25%).Of course, there was certainly nothing "boring" about Dell's 32% gain on Friday, March 1, to new all-time highs, following its fourth-quarter earnings report. No surprise: AI servers are leading the way, as man ...