- Shares of Dell Technologies Inc (NYSE:DELL) received a price target of $76 from BofA. These are the details.
Shares of Dell Technologies Inc (NYSE:DELL) received a price target of $76 from BofA. And BofA Securities analyst Wamsi Mohan raised the price target on Dell by $68 while maintaining a “Buy” rating on the stock.
Mohan had adjusted the rating after the company’s fourth quarter results.
Dell had posted fourth-quarter adjusted EPS of $1.72, down from $1.76 year-over-year and below consensus estimates of $1.94. And adjusted revenue was reported at $28 billion, up 16% year-over-year and slightly above the $27.54 billion expected.
Adjusted gross margin was 21% in the quarter, down from 24% year-over-year and below analyst consensus of 25.5%. And adjusted operating margin was 8%, down from 9% a year ago and almost in line with consensus estimates of 8.54%. Adjusted EBITDA was reported at $2.69 billion, up 2.5% year-over-year and lower than the $3.21 billion forecast.
Additionally, Dell also announced a first quarter dividend of $0.33 per share, payable April 29 to holders of record as of April 20.
“We expect margins to improve as we progress through the year and view the headwinds as transitory. CSG had another strong quarter with towers growing 26% YoY (5% YoY), with commercial revenue growing 30% YoY and consumer revenue growing 16% YoY PC backlog has been declining over the past two quarters and is nearing the top normal range; however, management expects the backlog to increase in the first quarter,” Mohan wrote in a research note.
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