ReportWire

Tag: Dell Technologies Inc

  • Evercore ISI Lifts Dell Technologies Inc. (DELL) Price Target Following $5.8 Order Deal

    [ad_1]

    Dell Technologies Inc. (NYSE:DELL) is one of the best blue-chip stocks to buy now. On November 3, analysts at Evercore ISI reiterated an “Outperform” rating on Dell Technologies Inc. (NYSE:DELL) and raised the price target to $180 from $160. The price target hike comes as the research firm expects the company to benefit from a significant order of ancillary equipment.

    Evercore ISI Lifts Dell Technologies Inc. (DELL) Price Target Following $5.8 Order Deal

    With IREN inking a 5-year contract worth $9.7 billion with Microsoft for the supply of GB300 GPUs, Dell is poised to attract a $5.8 billion order for ancillary equipment. IREN purchases high-performance AI infrastructure hardware from Dell for its cloud services, which support clients such as Microsoft.

    The IREN deal is poised to strengthen Dell’s Tier 2 customer base, which currently includes CoreWeave and xAI. The IREN program is also expected to account for about 25% of Dell’s total AI revenue. As part of the IREN Microsoft deal, Dell is to handle the complete delivery and integration of systems for its customers. Evercore ISI expects the company to capitalize on the expansion of its Tier 2 customer base.

    Dell Technologies announced on October 21, that it has advanced its AI Data Platform to help enterprises unlock faster and more reliable insights by breaking down data silos. The platform, part of the Dell AI Factory and integrated with NVIDIA’s reference design, combines storage engines, data engines, cyber resiliency, and management services to support demanding AI workloads. Dell PowerScale and ObjectScale deliver enhanced scalability and performance, with PowerScale offering simplified NAS access and GPU-scale efficiency, while ObjectScale provides high-speed, S3‑native object storage with new software-defined options and deeper AWS integration.

    Dell Technologies Inc. (NYSE:DELL) designs, develops, sells, and supports a wide range of computers and IT solutions. Its product line includes laptops, desktops, and monitors, as well as advanced infrastructure solutions such as servers, data storage, and artificial intelligence for businesses.

    While we acknowledge the potential of DELL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

    READ NEXT: Top 9 Undervalued Asset Management Stocks to Buy and 13 Best AI Stocks to Buy Under $20.

    Disclosure: None. This article is originally published at Insider Monkey.

    [ad_2]

    Source link

  • Why a Wall Street downgrade of Costco is not a reason to sell the stock

    Why a Wall Street downgrade of Costco is not a reason to sell the stock

    [ad_1]

    [ad_2]

    Source link

  • BlackRock-backed fintech Trustly says IPO still at least one year out even as profits jump 51%

    BlackRock-backed fintech Trustly says IPO still at least one year out even as profits jump 51%

    [ad_1]

    Trustly CEO Johan Tjarnberg.

    Trustly

    The boss of Swedish financial technology startup Trustly says an initial public offering for the company is still a year or two away from happening, even after a 51% jump in operating profit.

    In an exclusive interview with CNBC, Johan Tjarnberg, CEO of Trustly, said that his firm still needs time to prove the value of its open banking technology to investors before going public.

    “We need another year or two to really demonstrate to the market that open banking is happening happening, it’s here,” Tjarnberg told CNBC.

    “For me, there is so much we want to demonstrate to the market in terms of user adoption, merchant adoption. We still need some time to execute on our existing playbook.”

    Trustly is holding out on an IPO even after reporting a strong set of financials. Results shared exclusively with CNBC show the firm reported revenues of $265 million in its 2023 full year.

    Growth accelerated significantly in the second half of the year, Trustly said, climbing 27% compared with the same period in 2022. That was as transaction volumes spiked 48% over the same period.

    Tjarnberg told CNBC that the company’s performance in 2023 was heavily driven by the growth at its U.S. business. Trustly merged with American rival PayWithMyBank in 2020.

    “We invested a lot into the U.S. market,” Tjarnberg said. “We were roughly 20 people there four years ago; we now have 500 supporting the U.S. market.”

    Tjarnberg said that, in the first quarter of this year, Trustly saw heightened growth in areas like utilities, retail, and travel, with 22% of volumes coming from those core verticals, up 44% over 12 months.

    Chipping away at Visa, Mastercard?

    Trustly increased operating profit by 51% in full-year 2023, with adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) climbing to $51 million from $33 million in 2022.

    That was as overall transaction value processed during 2023 climbed by 79%, to $58 billion.

    Trustly helps companies integrate the ability to accept payments via open banking technology.

    This tech lets consumers make payments directly to a merchant’s bank account without the need for an intermediary such as a card issuer.

    It provides an alternative to incumbent credit card programs such as Mastercard and Visa, which charge merchants high fees for transactions.

    Gap between closed-source and open-source AI companies smaller than we thought: Hugging Face

    In the U.S., Tjarnberg said, Trustly is seeing heightened demand from merchants “trying to take down costs,” as high card processing fees have made them more price-conscious.

    “There is no secret that our objectives and ambition is to bring a good alternative to other payment methods, including cards,” he told CNBC.

    Open banking is a trend which has gained significant momentum, particularly across Europe.

    That’s thanks to the introduction of regulations which require banks to open their clients’ account data and payment functionalities to third-party firms.

    It has paved the way for new entrants into finance including fintechs, startups and tech companies. Founded in 2008, Sweden’s Trustly competes with the likes of GoCardless, TrueLayer, Volt, Bud, and Yapily.

    Future product plans

    Trustly expects to launch a feature that allows its merchants to set up recurring payments for customers. That will be targeted at things like telecom packages and subscription-based music streaming services.

    Tjarnberg said Trustly is “bullish” on the mobile space, particularly in the U.S. after having seen early success in mobile billing partnerships with the likes of AT&T and T-Mobile.

    Trustly is used by more than 9,000 merchants worldwide including Facebook, Alibaba, PayPal, eBay, AT&T, Unicef, Dell, Lyft, DraftKings, Wise, and eToro.

    Trustly is majority-owned by venture capital firm Nordic Capital, which owns a 51.1% stake in the business. Alfven & Didrikson is its second-biggest backer, with a 11.1% stake, while BlackRock holds an 8.9% stake.

    Aberdeen Standard Investments and Neuberger Berman own 0.7% and 0.9% stakes in Trustly, respectively, while others including the Trustly management and employees own 27.4%.

    [ad_2]

    Source link

  • Cramer's week ahead: Earnings season kicks off after JPMorgan Healthcare Conference

    Cramer's week ahead: Earnings season kicks off after JPMorgan Healthcare Conference

    [ad_1]

    CNBC’s Jim Cramer on Friday told investors what to watch for on Wall Street next week, highlighting JPMorgan‘s market-moving health-care conference in San Francisco. Taking place from Monday to Thursday, the conference is one of the year’s largest gatherings of major industry CEOs where they reveal earnings guidance and updates on clinical trial research.

    “The new year has started with a redistribution of cash out of the ‘Magnificent Seven’ and on to the sidelines,” Cramer said, pointing to health-care stocks as a particularly notable group that will likely be “propelled by what people expect to hear from the JPMorgan Healthcare Conference.”

    Cramer will interview several CEOs at the conference, starting with Walgreens CEO Tim Wentworth on Monday. Cramer said he’s interested to hear how the company plans to get its groove back after cutting its dividend nearly in half this week. Cramer will also speak with leadership from Amgen and Medtronic, as well as the new CEO of Bristol Myers, Chris Boerner, whom he’ll ask about the company’s rigorous biotech acquisition plans.

    On Tuesday and Wednesday, Cramer will continue to interview the CEOs of major industry names, including Eli Lilly CEO David Ricks. Cramer said he’s particularly interested in the company’s diabetes and weight loss drug as well as its Alzheimer’s initiative. He’ll also speak with CVS Health CEO Karen S. Lynch to discuss the company’s ongoing transition from drug store to health-care provider. Cramer will also hear from the CEOs of Pfizer, Regeneron, Novartis, Abbott Labs and Cencora.

    Thursday brings the consumer price index for December. Cramer said he thinks those hoping for soft figures will be disappointed. Cramer will also be tuning into CES, the Consumer Electronics Show, next week. The tech event will include commentary by leadership from Nvidia and Dell.

    Earnings season kicks off Friday with reports from major banks including JPMorgan, Bank of America and Wells Fargo. BlackRock will also report, and Cramer said he thinks the company’s earnings could give investors a solid overview of the financial industry. He’ll also be paying attention to Friday reports from UnitedHealth Group and Delta.

    Jim Cramer talks what's ahead for the markets next week

    Jim Cramer’s Guide to Investing

    Sign up now for the CNBC Investing Club to follow Jim Cramer’s every move in the market.

    Disclaimer The CNBC Investing Club Charitable Trust holds shares of Eli Lilly.

    Questions for Cramer?
    Call Cramer: 1-800-743-CNBC

    Want to take a deep dive into Cramer’s world? Hit him up!
    Mad Money Twitter – Jim Cramer Twitter – Facebook – Instagram

    Questions, comments, suggestions for the “Mad Money” website? madcap@cnbc.com

    [ad_2]

    Source link

  • Dell has best day on stock market since its relisting in 2018 after earnings sail past estimates

    Dell has best day on stock market since its relisting in 2018 after earnings sail past estimates

    [ad_1]

    Michael Dell

    David A. Grogan | CNBC

    Dell shares surged 21.3% Friday, their best day since the company returned to the public market in 2018. The rally followed a better-than-expected earnings report, driven by a big revenue beat.

    The maker of IT hardware and infrastructure technology said sales slid 13% from a year earlier to $22.9 billion, topping the $20.9 billion average analyst estimate according to Refinitiv. Adjusted earnings per share of $1.74 exceeded the $1.14 average analyst estimate.

    Dell traded at $68.59 as of midday Friday. It’s on pace for its biggest gain and highest close since the company relisted its stock five years ago. Dell was taken private in 2013 by founder Michael Dell and a group of private equity firms.

    In addition to its rosy earnings report for the latest quarter, Dell increased its forecast for the year. The company now expects full-year sales of between $89.5 billion and $91.5 billion, representing a 12% year-over-year drop at the middle of the range. Dell previously was calling for a drop of about 15%.

    Despite a decline in revenue, Morgan Stanley on Friday named Dell its top IT hardware pick, replacing Apple. The firm wrote in a report that Dell “is emerging as an early Generative AI winner,” referring to the latest developments in artificial intelligence.

    Morgan Stanley sees Dell benefiting from booming demand for artificial intelligence servers as more companies focus their spending on that corner of the hardware market. The analysts recommend buying the stock and lifted the price target to $70.

    “DELL is the first company in our coverage to directly benefit from the Gen AI spending cycle,” the analysts wrote, pointing to Dell’s disclosure of a $2 billion backlog of AI servers.

    Morgan Stanley maintained an overweight rating for Apple but noted risks of increased regulation around the app store.

    Prior to Friday, Dell’s biggest one-day gain since 2018 was a 14% increase in March 2020, according to FactSet. Its previous record close was $60.77 in February of this year.

    Correction: A headline for this story has been updated to reflect that Dell returned to the public market in 2018. A previous headline misstated the year.

    Subscribe to CNBC on YouTube.

    WATCH: AI wave will begin to split between open and closed-source models, says Dell Technologies CEO

    [ad_2]

    Source link

  • Dell has best day on stock market since its relisting in 2018 after earnings sail past estimates

    Dell has best day on stock market since its relisting in 2018 after earnings sail past estimates

    [ad_1]

    Michael Dell

    David A. Grogan | CNBC

    Dell shares surged 21.3% on Friday, their best day since the company returned to the public market in 2018. The rally followed a better-than-expected earnings report, driven by a big revenue beat.

    The maker of IT hardware and infrastructure technology said sales slid 13% from a year earlier to $22.9 billion, topping the $20.9 billion average analyst estimate according to Refinitiv. Adjusted earnings per share of $1.74 exceeded the $1.14 average analyst estimate.

    Dell traded at $68.59 as of mid-day Friday. It’s on pace for its biggest gain and highest close since the company relisted its stock five years ago. Dell was taken private in 2013 by founder Michael Dell and a group of private equity firms.

    In addition to its rosy earnings report for the latest quarter, Dell increased its forecast for the year. The company now expects full-year sales of between $89.5 billion and $91.5 billion, representing a 12% year-over-year drop at the middle of the range. Dell previously was calling for a drop of about 15%.

    Despite a decline in revenue, Morgan Stanley on Friday named Dell its top IT hardware pick, replacing Apple. The firm wrote in a report that Dell “is emerging as an early Generative AI winner,” referring to the latest developments in artificial intelligence.

    Morgan Stanley sees Dell benefiting from booming demand for AI servers as more companies focus their spending on that corner of the hardware market. The analysts recommend buying the stock and lifted the price target to $70.

    “DELL is the first company in our coverage to directly benefit from the Gen AI spending cycle,” the analysts wrote, pointing to the Dell’s disclosure of a $2 billion backlog of AI servers.

    Morgan Stanley maintained an overweight rating for Apple, but noted risks of increased regulation around the app store.

    Prior to Friday, Dell’s biggest one-day gain since 2018 was a 14% increase in March 2020, according to FactSet. Its previous record close was $60.77 in February of this year.

    Subscribe to CNBC on YouTube.

    WATCH: AI wave will begin to split between open and closed-source models, says Dell Technologies CEO

    [ad_2]

    Source link

  • CNBC Daily Open: Bitcoin breaches $30,000 as the economy slows

    CNBC Daily Open: Bitcoin breaches $30,000 as the economy slows

    [ad_1]

    A sign for a Bitcoin automated teller machine (ATM) at a gas station in Washington, DC, US, on Thursday, Jan. 19, 2023.

    Al Drago | Bloomberg | Getty Images

    This report is from today’s CNBC Daily Open, our new, international markets newsletter. CNBC Daily Open brings investors up to speed on everything they need to know, no matter where they are. Like what you see? You can subscribe here.

    Markets were mostly unchanged Monday, though bitcoin breached $30,000. Investors are waiting for bank earnings and price reports.

    What you need to know today

    • U.S. stocks were unchanged Monday after the long weekend, indicating investors were still weighing — and waiting for — economic data. Asia-Pacific markets mostly rose Tuesday. South Korea’s Kospi climbed 1.4% as the country’s central bank left interest rates unchanged at 3.5%. On the other hand, China’s Shanghai Composite slid 0.4% as prices in the country rose 0.7% year on year for March, which was lower than expected.
    • Bitcoin broke the $30,000 barrier for the first time since June last year. The biggest cryptocurrency by market cap is up 86% year to date as investors flocked to it amid the banking turmoil.
    • Warren Buffet said in an interview with Nikkei he was thinking about investing more in five Japanese trading houses, which are conglomerates that import various products into Japan. Shares of those Japanese trading house rose by at least 2%.                                              
    • Alibaba revealed Tuesday morning an artificial intelligence chatbot named Tongyi Qianwen that will eventually be integrated with all its products. The news didn’t have that much of a lasting impact on the company’s Hong Kong-listed shares, which were last up 0.77% — but rival Baidu sank 6.79%.
    • PRO Samsung might see a 96% plummet in quarterly profit, and it plans to cut memory chip production. So why did Wall Street react positively to the news?

    The bottom line

    Markets in the U.S. reopened Monday but seemed to retain a post-holiday sluggishness as investors digested multiple signs of a slowing — but still strong — economy.

    First, even though consumers felt credit was harder to come by in March, the banking turmoil is subsiding. Charles Schwab said average daily outflows were down from February, and the bank had added $53 billion of core net new client assets in March. That trend is consistent with the broader banking industry, according to Federal Reserve data. For the period ending March 29, deposits increased by $42.3 billion on a non-seasonally adjusted basis.

    Likewise, although the tech sector was hit by bad news, the storm clouds had a silver lining. Computer shipments for the first quarter plummeted — but IDC thinks cratering demand lets companies finish “rejigging their plans” and improve their supply chains. Indeed, Dell popped 2.98% and HP rose 1.54% on the news — though Apple fell 1.6%, probably because it saw the steepest fall in shipments.

    The same dynamic of “bad news is good news” played out in the memory chip sector. Samsung’s plan to cut chip production helped push rivals Micron Technology and Western Digital higher by 8.04% and 8.22%, respectively. There were too many chips flooding the market, analysts believe, and tighter supply is a good thing.

    Outside those industries, however, the major stock indexes were mostly unchanged. The S&P 500 ticked up 0.1%, the Dow Jones Industrial Average added 0.3% and the Nasdaq Composite declined by 0.03%.

    Investors await a slew of economic indicators this week. On the earnings front, JPMorgan Chase, Wells Fargo and Citigroup report quarterly results. Traders will certainly pore through those reports, but they’ll also want to see what the U.S. consumer price index and producer price index say about the economy. If they reinforce last week’s jobs report and indicate that the economy isn’t overheating, the Federal Reserve may actually manage to steer markets to a fabled “soft landing.” Investors are keeping their fingers crossed.

    Subscribe here to get this report sent directly to your inbox each morning before markets open.

    [ad_2]

    Source link

  • Goldman Sachs says buy Dell because PC demand challenges will subside

    Goldman Sachs says buy Dell because PC demand challenges will subside

    [ad_1]

    [ad_2]

    Source link

  • Cramer’s week ahead: Markets will do ‘much better’ during the next four weeks

    Cramer’s week ahead: Markets will do ‘much better’ during the next four weeks

    [ad_1]

    Stocks rose on Friday but ended the turbulent week down.

    [ad_2]

    Source link

  • CNBC Pro Talks: Hedge fund manager Dan Niles bought Meta shares. Here’s his strategy for tech names

    CNBC Pro Talks: Hedge fund manager Dan Niles bought Meta shares. Here’s his strategy for tech names

    [ad_1]

    Share

    The Satori Fund founder Dan Niles shares his macro analysis of the large-cap tech sector, when he thinks the market will hit the bottom, and which names he thinks are poised to rebound going into 2023.

    [ad_2]

    Source link