Citi has revised its price target for Dell Technologies (DELL, Financial), lowering it from $145 to $105 while maintaining a Buy rating on the stock. This adjustment comes amid expectations of a boost in North America's communications equipment sector following new tariff exemptions announced by the Trump administration. The exemptions apply to PCs, smartphones, and 20 other product categories, potentially stimulating demand in these areas.
However, Citi has adjusted its projections for data center capital expenditures and PC sales, citing weak demand driven by broader macroeconomic trends. The firm highlights a preference for stocks tied to artificial intelligence server technologies over enterprise-focused ones, noting that many enterprises are likely to uphold their current IT budgets despite rising prices, making them hesitant to increase capital expenditures.
The analysis further indicates that the consumer segment is expected to suffer the most due to inflation and a decline in demand. This reflects a broader concern that rising prices and economic uncertainty could impact consumer spending on technology products.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 20 analysts, the average target price for Dell Technologies Inc (DELL, Financial) is $134.37 with a high estimate of $185.00 and a low estimate of $89.00. The average target implies an upside of 64.01% from the current price of $81.93. More detailed estimate data can be found on the Dell Technologies Inc (DELL) Forecast page.
Based on the consensus recommendation from 24 brokerage firms, Dell Technologies Inc's (DELL, Financial) average brokerage recommendation is currently 2.0, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Dell Technologies Inc (DELL, Financial) in one year is $76.45, suggesting a downside of 6.69% from the current price of $81.93. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Dell Technologies Inc (DELL) Summary page.
