Dell Technologies Inc.DELL
NYSE • Technology
$242.18
P/E
27.24
PEG
0.57
FCF Yield
5.3%
Rev Growth YoY
+40.2% YoY
Gross Margin
20.2%
Health Score
7/10
D/E Ratio
-12.75
Confidence
MEDIUM
Business Snapshot
Dell Technologies provides computer hardware, servers, storage, and networking solutions to enterprises, governments, and consumers. The company operates in the global computer hardware market, competing with HP Inc., Lenovo, and HPE, and holds a strong position as a top-tier supplier, especially in enterprise infrastructure. With a market cap of $160.62B, it is a large-cap company generating $113.54B in TTM revenue, underlining significant scale. A defining characteristic is its deep enterprise relationships and recent surge in demand for AI-optimized servers, which is driving accelerated revenue growth.
Financial Health
Gross margin stands at 20.2%, down from 21.2% a year ago, while net margin is 5.2% — moderate profitability with some pressure on product-level margins. The debt-to-equity ratio is -12.75x (negative equity), which typically signals high leverage or accumulated deficits, though the company also maintains a current ratio of 0.91x, indicating potential short-term liquidity strain...
Risk Assessment
- VALUATION DIVERGENCE — FMP DCF fair value of $151.09 and Python DCF estimate of $1,342.69 differ by more than 25%, creating fundamental uncertainty around intrinsic value.
- ANALYST TARGET — Despite 74% buy ratings, the average price target of $189.61 is 21.7% below the current price of $242.18, signaling downside risk from sell-side consensus.
- LIQUIDITY — A current ratio of 0.91x is below the 1.0x threshold, indicating that short-term assets do not fully cover short-term liabilities, a potential liquidity risk.
- MARGIN PRESSURE — Gross margin contracted from 21.2% to 20.2% over the prior year, suggesting rising costs or competitive pricing that could further pressure profitability.
- 52-WEEK POSITION — The current price of $242.18 sits near the top of the 52-week range ($106.38–$263.99), limiting upside from technical support levels and increasing downside exposure....