Goldman Sachs Initiates DELL at Buy, Sees AI Server Momentum Driving Upside

Core Viewpoint - Dell Technologies Inc. is recognized as a trending AI stock, with Goldman Sachs initiating coverage with a Buy rating and a price target of $165, driven by AI server strength and data center recovery [1] Group 1: Investment Outlook - Analysts believe Dell is positioned as an AI winner, benefiting from cyclical recovery in its core data center hardware business, which supports potential upside despite challenges in the PC market [1] - Even with cautious assumptions regarding PC demand and profitability, Dell is expected to exceed consensus sales and earnings estimates due to ongoing AI server momentum and recovery in core servers and storage [2] Group 2: Competitive Advantages - Dell's ability to manage commodity cost headwinds more effectively than its peers is attributed to its scale, large direct sales force, and favorable business mix [2] - The company provides a range of IT solutions, including servers, storage, networking, and personal computing devices, catering to both businesses and consumers globally [3]