Dell Underperforms Sector with 1.19% Decline Ahead of 32% EPS Growth
Dell Technologies shares fell 1.19% after a 2.52% one-month decline, underperforming the Computer & Technology sector’s 4.05% drop and the S&P 500’s 1.43% slide. Analysts forecast Q2 EPS of $3.54 (up 32%) on $31.88 billion revenue (up 33%), and forward P/E of 10.42 signals a valuation discount to peers.
1. Stock Performance
Dell Technologies shares closed the session down 1.19%, extending a one-month loss of 2.52% compared with a 4.05% decline in the Computer & Technology sector and a 1.43% drop in the S&P 500. The stock’s underperformance highlights investor caution ahead of upcoming earnings.
2. Upcoming Earnings Forecasts
Analysts expect Q2 earnings per share of $3.54, a 32.09% increase year-over-year, on revenue of $31.88 billion, up 33.24% from the prior-year quarter. Full-year consensus anticipates EPS of $9.98 (up 22.6%) and revenue of $112 billion (up 17.2%), reflecting robust growth expectations.
3. Valuation and Ranking
Dell trades at a forward P/E ratio of 10.42 versus the industry average of 10.53, and holds a PEG ratio of 0.63 below the 0.84 industry norm. The company carries a Zacks Rank #4 (Sell), following a 0.2% downward revision in consensus EPS estimates over the past month.