DELL·Dell Technologies Inc.

Evercore's Tactical Outperform rating, driven by strong demand in traditional hardware and AI compute, suggests a positive outlook for DELL ahead of its earnings report. This is further supported by the firm's anticipation that DELL will exceed consensus revenue and EPS estimates, fueled by robust AI server orders and a significant backlog. The firm also highlights favorable memory pricing trends as a near-term tailwind. This positive sentiment is echoed by other analysts, with an average brokerage recommendation between Strong Buy and Buy. Evercore also initiated coverage with an Outperform rating, anticipating strong EPS growth driven by robust demand for PCs, servers, and AI compute. The firm expects DELL to gain market share in the client solutions group. However, it's worth noting that Evercore lowered its price target for DELL, reflecting a revised outlook on the company's valuation, though they maintained an Outperform rating. JPMorgan also decreased its price target while maintaining an Overweight rating, indicating a recalibration of their valuation model. DELL's upcoming earnings report, expected on February 26, is anticipated to show increased revenues and a year-over-year increase in earnings. The market expects quarterly earnings of $3.54 per share. The stock's performance will likely depend on whether the actual results meet or exceed these expectations.