Long Trade Idea
Enter your long position between $122.64 (the intra-day high of its last bearish candlestick) and $124.95 (yesterday’s intra-day high).
Market Index Analysis
Dell Technologies (DELL) is a member of the S&P 500 Index.
This index trades inside a bearish chart pattern as bullish trading volumes are contracting.
The Bull Bear Power Indicator of the S&P 500 Index turned bullish with a descending trendline.
Market Sentiment Analysis
Equity futures are sliding this morning, and NVIDIA’s earnings and upbeat outlook did little to calm valuation and capital expenditure fears. They failed to ignite the next leg higher of the AI trade, and signs of a temporary top are emerging. Salesforce tumbled, which offered a better indicator of market direction. Traders receive initial jobless claims today, followed by January’s PPI report tomorrow. On the earnings front, Warner Bros. Discovery, Dell Technologies, and CoreWeave are in focus today. Volatility is likely to remain over the next few trading weeks.
Dell Technologies Fundamental Analysis
Dell Technologies (DELL) is active in PCs, servers, monitors, computer software, computer security, network security, and information security. Its Infrastructure Solutions Group (ISG) is a core beneficiary of the global AI infrastructure boom.
So, why am I bullish on DELL ahead of its earnings release?
I am bullish about Dell’s Infrastructure Solutions Group (ISG) and its record $18.4 billion backlog in AI-optimized servers. With AI server shipments expected to surge 150% in fiscal 2026 to above $25 billion, I expect DELL to deliver an upbeat outlook, further driven by a multi-year PC upgrade cycle. I am equally bullish about its partnerships with AMD, IREN, xAI, CoreWeave, and on its collaboration with NVIDIA on Blackwell-architecture servers and liquid-cooled AI clusters.
Metric | Value | Verdict |
P/E Ratio | 16.51 | Bullish |
P/B Ratio | Unavailable | Bearish |
PEG Ratio | 0.83 | Bullish |
Current Ratio | 0.85 | Bearish |
ROIC-WACC Ratio | Positive | Bullish |
Dell Technologies Fundamental Analysis Snapshot
The price-to-earnings (P/E) ratio of 16.51 makes DELL an inexpensive stock. By comparison, the P/E ratio for the S&P 500 Index is 29.86.
The average analyst price target for DELL is $157.78. This suggests an excellent upside potential with decreasing downside risks.
Dell Technologies Technical Analysis
Today’s DELL Signal
Dell Technologies Price Chart
The DELL D1 chart shows price action inside a bullish price channel.
It also shows price action breaking out above its descending Fibonacci Retracement Fan.
The Bull Bear Power Indicator is bullish with an ascending trendline.
The average bullish trading volumes are higher than the average bearish trading volumes.
DELL outperformed the S&P 500 Index over the past two weeks, a bullish trading confirmation.
My DELL Long Stock Trade
DELL Entry Level: Between $122.64 and $124.95
DELL Take Profit: Between $157.78 and $162.51
DELL Stop Loss: Between $106.38 and $109.17
Risk/Reward Ratio: 2.16
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