Dell: leaps over 30%, as AI order book impresses

(CercleFinance.com) - Dell shares soared more than 30% on Friday on the New York Stock Exchange following Thursday night's announcement of profits and sales figures that beat analysts' expectations.


The US technology group, which has turned away from PCs to focus on the enterprise market, posted adjusted EPS (non-GAAP) that rose 22% to $2.20 in Q4 2023/2024, ended 2 February.

The IT equipment manufacturer posted revenues down 11% to just over $22.3bn.

However, its momentum in AI-dedicated servers impressed the market, with orders up almost 40% sequentially and an order backlog exceeding $2.9bn at the year-end.

Dell Technologies also announced a 20% increase in its annual dividend per share, to $1.78 from the quarterly payment due in early May.

Following this announcement, analysts at Bank of America raised their target price for the stock from $98 to $116, while reiterating their Buy rating.

Welcoming the acceleration in the company's AI activities, UBS teams raised theirs from $99 to $113, again with a Buy recommendation.


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