Dell Technologies (NYSE: DELL) Q2 FY2025 Earnings Release: Market Insights, Analyst Forecasts, and Technical Analysis

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Dell Technologies (NYSE: DELL) announced via an Aug. 15 press release that it will hold a conference call today, Thursday, Aug. 29, 2024, at 3:30 p.m. CDT / 8:30 p.m. GMT to discuss its fiscal 2025 Q2 financial results. The live audio-only webcast will be accessible to the public on their investor website, with a recorded version available for later viewing.

Market Cap

€70.06 billion in market cap places Dell as the 229th most valuable company globally, per August 2024 data from companiesmarketcap.com.

Dividend Information 

With a 1.61% dividend yield and an annual dividend of $1.78, Dell’s payout ratio stands at 36.41%, with a quarterly payout frequency. Dividend growth is recorded at 16.43% over two years, and the company offers a buyback yield of 1.18%. The ex-dividend date was July 23, 2024, and overall shareholder yield reaches 2.79%.

Recent Developments At Dell

Here are some of Dell’s latest developments:

  • Dell and Ericsson collaborate to fast-track telecom cloud network evolution.
  • Dell and Broadcom strengthen an alliance with co-developed hyperconverged infrastructure solutions.
  • Dell enhances PowerStore with improved storage efficiency, performance, and resiliency.
  • Dell rolls out AI Factory solutions powered by NVIDIA, driving AI adoption for global enterprises.
  • Dell and CrowdStrike deepen their partnership, offering advanced Managed Detection and Response (MDR) services.
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    Q1 Earnings Report Recap 

    Dell’s Q1 FY25 net revenue rose 6% YoY to $22.2B while operating income dropped 14% to $920M.

    Net income surged 65% to $955M, with diluted EPS increasing 67% to $1.32.

    Cash flow from operations declined 41% to $1.04B; adjusted free cash flow was down 9%.

    Non-GAAP operating income fell 8%, and non-GAAP diluted EPS slipped 3% to $1.27.

    Q2 Earnings Report Analyst Forecast 

    For the current quarter, the Zacks consensus EPS estimate stands at $1.74, with the most recent consensus at $1.87, and a high estimate matching it. Sales estimates are projected at $24.29B, reflecting a 5.91% YoY growth, with a range between $24.07B and $24.66B. Last year’s sales for the same quarter were $22.93B.

    According to Investing.com, Dell projects an EPS of $1.68 and revenue of $24.14B, aligning with market expectations for the upcoming quarter.

    Tradingview.com projects Dell’s earnings per share (EPS) to hit $1.71, with revenue estimated at $24.14 billion.

    Technical Analysis 

    Dell nearing a potential upside breakout from downtrend line at $109.22 on the 4HR chart.

    If the breakout is confirmed, target levels could be $124.50 and $136.49.

    If the breakout fails, downside targets could be $89.81 and $65.11

    Apply Risk Management 

    Conclusion 

    Dell Technologies has shown strong recent performance with a 65% increase in net income and a projected Q2 FY25 EPS of $1.68 to $1.87, reflecting continued growth. Despite a drop in operating income and cash flow, future forecasts suggest positive trends with potential revenue reaching $24.14 billion. However, technical analysis indicates a critical point for price movement, with potential targets ranging from $124.50 to $65.11, depending on the breakout’s success.

    Source:

    https://investors.delltechnologies.com/node/16641/pdf

    https://investors.delltechnologies.com/events/event-details/dell-technologies-fiscal-year-2025-second-quarter-results

    https://companiesmarketcap.com/eur/dell/marketcap/

    https://stockanalysis.com/stocks/dell/dividend/

    https://www.dell.com/en-us/dt/corporate/newsroom/announcements/detailpage.press-releases~usa~2024~05~dell-technologies-and-ericsson-form-strategic-partnership-to-accelerate-telecom-network-cloud-transformation.htm#/filter-on/Country:en-us

    https://www.dell.com/en-us/dt/corporate/newsroom/announcements/detailpage.press-releases~usa~2024~06~dell-technologies-and-broadcom-extend-commitment-to-serving-customers-and-partners-with-broad-jointly-engineered-hyperconverged-solutions-portfolio.htm#/filter-on/Country:en-us

    https://www.dell.com/en-us/dt/corporate/newsroom/announcements/detailpage.press-releases~usa~2024~05~20240521-dell-technologies-bolsters-dell-powerstore-with-storage-performance-resiliency-and-efficiency-advancements.htm#/filter-on/Country:en-us

    https://www.dell.com/en-us/dt/corporate/newsroom/announcements/detailpage.press-releases~usa~2024~03~20240318-dell-offers-complete-nvidia-powered-ai-factory-solutions-to-help-global-enterprises-accelerate-ai-adoption.htm#/filter-on/Country:en-us

    https://www.dell.com/en-us/dt/corporate/newsroom/announcements/detailpage.press-releases~usa~2024~03~20240305-dell-technologies-and-crowdstrike-expand-partnership-delivering-comprehensive-managed-detection-and-response.htm#/filter-on/Country:en-us

    https://images.app.goo.gl/7rknRrbzHDXAcZ4v6

    https://investors.delltechnologies.com/news-releases/news-release-details/dell-technologies-delivers-first-quarter-fiscal-2025-financial#:~:text=Dell%20Technologies%20(NYSE%3A%20DELL),from%20operations%20was%20%241.0%20billion%20.

    https://www.zacks.com/stock/quote/DELL/detailed-earning-estimates

    https://www.investing.com/equities/dell-inc-earnings

    https://www.tradingview.com/symbols/NYSE-DELL/forecast/

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