Group 1 - Dell Technologies' stock increased by 1.8% to $126.63, outperforming the S&P 500's gain of 0.61% for the day [1] - Over the last month, Dell's shares rose by 9.84%, exceeding the Computer and Technology sector's gain of 5.6% and the S&P 500's gain of 3.85% [1] Group 2 - Dell Technologies is expected to report earnings per share (EPS) of $2.28, reflecting a 20.63% increase from the prior-year quarter, with projected revenue of $29.14 billion, a 16.45% rise from the same quarter last year [2] - For the full year, earnings are projected at $9.44 per share and revenue at $103.87 billion, representing increases of 15.97% and 8.69% respectively from the prior year [3] Group 3 - Recent modifications to analyst estimates indicate positive sentiment regarding Dell's business and profitability [4] - The Zacks Rank system, which rates stocks from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Dell Technologies as 1 (Strong Buy), with an average annual return of +25% for 1 rated stocks since 1988 [6] Group 4 - Dell Technologies has a Forward P/E ratio of 13.17, which is a premium compared to the industry average Forward P/E of 11.76 [7] - The company has a PEG ratio of 1.04, while the Computer - Micro Computers industry has an average PEG ratio of 1.57 [7] Group 5 - The Computer - Micro Computers industry is part of the Computer and Technology sector and holds a Zacks Industry Rank of 90, placing it in the top 37% of over 250 industries [8]

Core Insights - The server market is projected to experience significant growth driven by artificial intelligence, with revenues expected to grow at a 25% annual rate from 2024 to 2030, while unit shipments will increase at a 7% annual pace [1][10]. Company Insights - Dell Technologies is identified as a major beneficiary of the rising AI server demand, with an AI server backlog of $14.4 billion as of the first quarter of fiscal 2026, and projected AI server revenue growth from $9.8 billion in 2024 to over $44 billion by 2027 [5][6]. - Hewlett Packard Enterprise is also expected to benefit significantly, with AI server revenue projected to grow from $4.5 billion in 2024 to $20 billion by 2027, and an APU backlog of $3.2 billion at the end of the second quarter of fiscal 2025 [7]. Market Dynamics - AI server revenues are anticipated to grow at a 28% compound annual growth rate (CAGR) from 2024 to 2030, outpacing the overall server market growth of 25% CAGR, while non-AI server revenues will grow at about 4% annually [3]. - AI server unit shipments are expected to increase at a 15% CAGR, compared to total server units growing at a 7.2% annual rate during the same period [4]. Product Segmentation - Early AI-related demand is expected to focus on mid-range and high-end training servers, with inference server demand rising in later years, primarily in the mid-range segment [11]. - Volume servers priced below $10,000 are projected to grow at a 5% CAGR, while mid-range server units will grow at a 19% CAGR, and high-end server units will grow at a 39% CAGR, driven by the need to train AI models [12]. Competitive Landscape - The server industry is expected to face pressure on profit margins due to intensifying competition, with operating margins likely to remain in the low-to-mid single digits in the near term [9]. - Newer GPUs, such as Nvidia's Blackwell, require significant power, leading to the integration of liquid cooling systems, which currently command premium pricing but are expected to see price reductions over time [8].

Core Insights - Dell Technologies (DELL) is showing strong upward momentum, trading above its 200-day and 50-day simple moving averages, indicating price stability and a long-term bullish trend [1][4] - The stock has gained 8% year-to-date, outperforming the broader Zacks Computer and Technology sector, which increased by 7%, while the Zacks Computer - Micro Computers industry declined by 15.6% [5][9] - Strong demand for AI servers and cloud offerings has driven significant revenue growth, with ISG revenue increasing by 12% year-over-year [9][13] Financial Performance - DELL expects Q2 FY26 revenue between $28.5 billion and $29.5 billion, indicating solid double-digit growth [9][18] - Non-GAAP earnings are projected at $2.25 per share, reflecting a 15% growth at the mid-point [19] - The Zacks Consensus Estimate for Q2 FY26 revenues is $29.14 billion, suggesting a year-over-year growth of 16.45% [18] Market Position - DELL's shares are considered undervalued, with a forward 12-month price-to-sales ratio of 0.79X compared to the sector's 6.58X [20] - The company has a Zacks Rank 1 (Strong Buy) and a Growth Score of B, indicating a favorable investment opportunity [23] Strategic Developments - DELL's expanding portfolio includes high-demand AI-optimized servers, contributing to a $12.1 billion increase in orders in the fiscal first quarter of 2026 [11][10] - The company is enhancing its cloud computing footprint through its APEX platform, which provides multi-cloud solutions and advanced AI infrastructure [12][13] - Partnerships with companies like Lowe's and Worley are enhancing DELL's capabilities in AI and cloud services [15][16][17]

Core Viewpoint - Dell Technologies Inc. (DELL) is showing potential as a strong stock pick due to a recent "golden cross" event, indicating a bullish trend may be forthcoming [1]. Technical Analysis - A "golden cross" occurs when a stock's short-term moving average (50-day) crosses above its long-term moving average (200-day), suggesting a bullish breakout is likely [2]. - The successful formation of a golden cross involves three stages: the stock price bottoms out, the shorter moving average crosses above the longer moving average, and the stock maintains upward momentum [3]. Performance Metrics - Over the past four weeks, DELL has gained 9.8%, and it currently holds a 1 (Strong Buy) rating on the Zacks Rank, indicating strong potential for further gains [4]. - Earnings expectations for DELL are positive, with five upward revisions in estimates for the current quarter and no downward revisions over the past 60 days, leading to an increase in the Zacks Consensus Estimate [4]. Investment Outlook - The combination of positive earnings estimate revisions and the recent technical breakout positions DELL as a stock to watch for potential gains in the near future [5].

Group 1 - Dell Technologies (DELL) has shown a year-to-date return of approximately 7.9%, outperforming the average return of 7% for the Computer and Technology sector [4] - The Zacks Consensus Estimate for DELL's full-year earnings has increased by 6.8% over the past quarter, indicating improved analyst sentiment and earnings outlook [4] - Dell Technologies holds a Zacks Rank of 1 (Strong Buy), suggesting a favorable investment outlook based on earnings estimates and revisions [3] Group 2 - Dell Technologies is part of the Computer - Micro Computers industry, which is currently ranked 90 in the Zacks Industry Rank, with an average loss of 15.6% for stocks in this group this year [6] - In contrast, Advantest Corp. (ATEYY), another strong performer in the Computer and Technology sector, has returned 33.2% year-to-date and is part of the Electronics - Measuring Instruments industry, ranked 26 [5][7] - The Electronics - Measuring Instruments industry has seen a positive movement of +2.4% since the beginning of the year, indicating a stronger performance compared to the Micro Computers industry [7]

Industry Overview - Big Data refers to the vast amounts of information generated daily from various sources, including online shopping, sensors, social media, and videos, encompassing both structured and unstructured data [1] - The global Big Data market is projected to reach $401.2 billion by 2028, indicating significant growth potential across various industries such as healthcare, finance, retail, and manufacturing [4] Technological Advancements - Artificial intelligence (AI) and advanced machine learning algorithms now enable the processing and analysis of large data sets, enhancing financial decision-making [2] - The use of analytics allows traders to execute prompt trades based on real-time patterns and trends, improving client satisfaction through targeted marketing strategies [3] Company Developments - NVIDIA (NVDA) is at the forefront of AI and Big Data, with its new Blackwell GPU architecture designed for training advanced AI models and running complex simulations more efficiently [6] - Moody's Corporation (MCO) has shifted from traditional ratings to risk analytics, expanding its services and capabilities through acquisitions and the development of tools like the Intelligent Risk Platform (IRP) [5][7] Investment Opportunities - Dell Technologies (DELL) has evolved to focus on building infrastructure for handling large data volumes, receiving over $12 billion in AI server orders in early 2025 [9] - HubSpot Inc. (HUBS) has transformed into a comprehensive platform integrating marketing, sales, and customer service, leveraging AI tools to enhance operational efficiency [11][12] - Microsoft (MSFT) has transitioned into a Big Data and AI powerhouse, with its Azure cloud platform facilitating the storage and analysis of large data sets [13][14]

Market Overview - The S&P 500 rose by 5% in June, driven by optimism regarding trade deals, a ceasefire in the Middle East, and potential interest rate cuts in 2025 [1] - Positive economic indicators, including strong manufacturing data, increased factory orders, and a favorable jobs report for June, alleviated recession fears [1] July Market Conditions - As July begins, the job market remains robust, inflation is cooling, and companies are set to announce earnings [2] - Trade disagreements may cause short-term market fluctuations, but new trade agreements could provide additional momentum [2] Stock Recommendations - Recommended stocks based on relative price strength include Dell Technologies Inc. (DELL), Jabil Inc. (JBL), Phibro Animal Health Corporation (PAHC), and Hudbay Minerals Inc. (HBM) [3][9] Relative Price Strength Strategy - Investors should assess stocks based on earnings growth and valuation multiples, while also considering their performance relative to industry peers [4] - Underperforming stocks should be avoided, while those outperforming their sectors in price should be prioritized for potential returns [5] Investment Criteria - Stocks that have outperformed the S&P 500 over the past 1, 4, and 12 weeks, along with positive earnings estimate revisions, indicate growth potential [6][8] - A focus on analyst optimism regarding upcoming earnings is crucial, as upward revisions can lead to price gains [7] Screening Parameters - Stocks must show positive relative price changes over 1, 4, and 12 weeks, and have positive current-quarter estimate revisions [8] - Stocks must have a minimum price of $5 and an average 20-day volume of at least 50,000 for adequate liquidity [10] Company Profiles - **Dell Technologies Inc. (DELL)**: Market cap of $84.7 billion, expected EPS growth of 16% year-over-year for fiscal 2026, with a trailing earnings surprise of 2.3% [11][12] - **Jabil Inc. (JBL)**: Expected EPS growth rate of 16.6% over three to five years, with a 102% share price increase in the past year [13][14] - **Phibro Animal Health Corporation (PAHC)**: Market cap of $1.2 billion, expected EPS growth of 71.4% for fiscal 2025, with a 75.7% share price increase in the past year [14][15] - **Hudbay Minerals Inc. (HBM)**: Expected EPS growth rate of 51.7% over three to five years, with a 43.8% year-over-year growth estimate for 2025 and a 17.6% share price increase in the past year [16][17]

Group 1 - Dell is primarily known for its laptops, but its servers are also a significant product line, especially with the rising demand for AI servers and AI PCs [1][3] - Over the past 30 years, Dell's revenue has shown a continuous upward trend, nearing $100 billion, as the company has successfully navigated multiple technological waves [1][3] - The article discusses Dell's ability to sustain growth in a competitive PC market and its recent entry into the AI sector [3][4] Group 2 - Dell's evolution can be divided into four key phases: direct sales model, internet empowerment, crisis period, and transformation into a full-stack IT service provider [4][10] - The initial phase (1984-1990) focused on a direct sales model that reduced operational costs by 15%-20% and improved response times to 72 hours [5] - The expansion phase (1991-2004) saw Dell leverage the internet, increasing daily online sales from $1 million to $50 million by 2000 [6][7] Group 3 - The crisis period (2005-2013) was marked by a loss of market share and a significant drop in profits, leading to the company's privatization in 2013 [8] - Since 2013, under the leadership of founder Michael Dell, the company has transformed into a comprehensive IT service provider, acquiring EMC for $67 billion in 2016 [10] - Dell's core business is now divided into Client Solutions Group (CSG) and Infrastructure Solutions Group (ISG), with a near 1:1 revenue split between the two [10][11] Group 4 - Dell's server business is currently a focal point, with expectations that AI servers will account for about 20% of ISG revenue [13][16] - The server industry chain includes upstream components like GPUs and CPUs, with Dell positioned in the midstream as a manufacturer and integrator [16][18] - Dell holds the top position among brand manufacturers in the server market, but only commands a 7.2% market share [20] Group 5 - The server market is projected to grow from $306.7 billion in 2024 to $608 billion by 2029, with a compound annual growth rate (CAGR) of 13.5%, driven by AI server demand [31] - AI servers are expected to see a 15.6% CAGR, with their market share increasing from 14% to 25% by 2029 [35] - Dell's AI server revenue is anticipated to reach nearly $10 billion in 2024, benefiting from its deep partnership with NVIDIA [39]

Core Viewpoint - Dell has successfully transitioned from a PC manufacturer to a comprehensive IT service provider, capitalizing on various technological waves over the past three decades, with annual revenue nearing $100 billion, particularly benefiting from the surge in AI demand [1][3]. Group 1: Company Overview - Dell started as a computer manufacturer and evolved into a full-stack IT service provider after entering the server and storage markets in the 2000s [5][12]. - The company has undergone four significant phases: direct sales model, internet empowerment, crisis period, and rebirth as a full-stack service provider [5][12]. - Dell's direct sales model eliminated intermediaries, reducing costs by 15%-20% and improving delivery speed to 72 hours [6][10]. Group 2: Market Position and Competitiveness - Dell's server business is currently a focal point, with AI servers expected to account for approximately 20% of its Infrastructure Solutions Group (ISG) business [16][19]. - In the server market, Dell ranks first among brand manufacturers but holds only a 7.2% market share, while ODM manufacturers dominate with a combined 47.3% share [23][27]. - Dell's profitability in the ISG business is relatively modest, maintaining an operating margin of 10-20%, compared to NVIDIA's 60% [21][29]. Group 3: AI Server Market Potential - The global server market is projected to grow from $306.7 billion in 2024 to $608 billion by 2029, with a compound annual growth rate (CAGR) of 13.5%, driven largely by AI server demand [34][38]. - AI servers are expected to increase their market share from 14% to 25% by 2029, with a projected market size of $551.8 billion [38][39]. - Dell's AI server revenue is anticipated to reach nearly $10 billion in 2024, benefiting from its deep partnership with NVIDIA [41][42].

Group 1: AI Industry Developments - Dell has delivered the first NVIDIA GB300 NVL72 systems to CoreWeave, showcasing AI performance exceeding 100 quintillion floating-point operations per second and providing 40TB of fast memory per rack[8] - Meta has established the Meta Super Intelligence Lab, led by former Scale AI CEO Alexandr Wang, focusing on AI product and application research, with a team of 11 top talents from leading AI companies[9] - Amazon has deployed its one millionth robot and introduced the DeepFleet generative AI model, which reduces operational time by 10% and enhances delivery efficiency[11] Group 2: AI Applications and Innovations - Meta has added new AI features to WhatsApp Business, allowing large enterprises to utilize voice call functionalities through API, with over 200 million monthly active users[10] - Google has launched the Veo 3 video generation model, capable of producing 1080P videos with background sound and dialogue, supporting various visual styles[12] - France's Kyutai has open-sourced the Kyutai TTS model, providing a high-performance text-to-speech solution with low latency and support for English and French[13] Group 3: AI Model Advancements - Germany's TNG has introduced the DeepSeek-TNG R1T2 Chimera model, a 671 billion parameter open-source hybrid model with a 200% speed increase compared to its predecessor[19] - Zhiyuan AI has open-sourced the GLM-4.1V-Thinking model, which outperforms larger models in 18 out of 28 multimodal benchmarks, demonstrating strong performance in document understanding and STEM reasoning[20] - Google has released the Gemma 3n model, supporting image, audio, and text inputs and outputs, with innovative architecture allowing efficient operation with lower memory requirements[22] Group 4: Risks and Market Considerations - There are concerns regarding AI software sales falling short of expectations, potential changes in capital expenditure investment plans, and delays in AI product and large model development due to supply chain constraints[26]