Dell: Buy The Dip – The AI Story Remains Solid


  • Dell’s stock has tripled in the past year, driven by its AI hardware segment.
  • While Q1 earnings fell slightly short of sky-high expectations, the 30% drop in its share price may be overdone.
  • Dell appears undervalued with a low forward P/E valuation and has substantial AI potential.
Dell EMC logo, sign on computer data storage company campus in Silicon Valley

Michael Vi

Dell Technologies (NYSE:DELL) experienced a significant surge in its stock price, appreciating by nearly 500% ($31 to $179) from the bear market bottom in 2022 to its recent peak. Over the past year, Dell’s stock has nearly tripled, with the primary driver of this stellar growth

Year 2025 2026 2027 2028 2029 2030
Revenue Bs $98 $112 $122 $133 $144 $155
Revenue growth 11% 14% 9% 9% 8% 8%
EPS $8 $10.50 $13 $15 $17 $19
EPS growth 12% 31% 24% 15% 14% 12%
Forward P/E 17 18 19 20 19 18
Stock price $180 $234 $285 $340 $370 $400

Analyst’s Disclosure: I/we have a beneficial long position in the shares of DELL, NVDA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

I am long a diversified portfolio with hedges.

Seeking Alpha’s Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Are You Getting The Returns You Want?

  • Invest alongside the Financial Prophet’s All-Weather Portfolio (2023 47% return), and achieve optimal results in any market.
  • The Daily Prophet Report provides crucial information before the opening bell rings each morning.
  • Implement my Covered Call Dividend Plan and earn 50% on some of your investments.

All-Weather Portfolio vs. The S&P 500

Don’t Wait! Unlock Your Financial Prophet!

Take advantage of the 2-week free trial and receive this limited-time 20% discount with your subscription. Sign up now and start beating the market for less than $1 a day!

Leave a Reply

Your email address will not be published. Required fields are marked *