Dell Technologies Q4 EPS Expected to Surge Ahead

Dell Technologies is set to announce Q4 earnings with an EPS forecast of $2.30, reflecting a 16.8% increase. This positive outlook continues, contributing to a bullish sentiment around the stock.

Date: 28-01-2025

AI Rating: 7

Earnings Per Share (EPS)
According to the report, analysts expect Dell Technologies to report an EPS of $2.30 for the upcoming Q4 earnings announcement, indicating a significant increase of 16.8% from the $1.97 reported in the same quarter last year. This trend of exceeding earnings expectations has been a consistent theme for Dell, as they have surpassed Wall Street’s EPS estimates in the last four quarters.

This positive earnings trajectory extends to fiscal year 2025, where analysts predict an EPS of $6.92, a 12.7% rise from the $6.14 during fiscal year 2024. Higher earnings per share directly correlate with increased investor confidence and can drive stock prices upward.

Revenue Growth
In the Q3 earnings report, Dell Technologies reported a 10% year-over-year revenue growth, reaching $24.4 billion. Although this fell short of Wall Street's expectation of $24.6 billion, the revenue growth rate is still noteworthy. The Infrastructure Solutions Group saw a remarkable 34% revenue increase, driven by demand for AI servers, highlighting Dell’s strategic pivot towards high-demand areas.

Positive Stock Performance
Dell’s stock has demonstrated strong performance, climbing 23.3% over the past 52 weeks and outperforming the wider S&P 500. A strong focus on artificial intelligence and collaborations with tech giants like NVIDIA and Qualcomm further bolster investor confidence in Dell's growth potential in AI infrastructure.

Overall Sentiment
The consensus opinion on Dell Technologies is significantly bullish, with a strong buy rating from 15 out of 20 analysts. This positive market sentiment is reflected in the mean price target of $149.42, suggesting a potential increase of 43.9% from current price levels. The recent performance and future projections bolster optimism about Dell’s continued growth and resilience in the tech sector.

Stocks: DELL NVDA QCOM