DELL Earnings Prediction
The chart below shows how DELL performed 10 days before and after its earnings report, based on data from the past quarters. Typically, DELL sees a -2.26% change in stock price 10 days leading up to the earnings, and a -0.82% change 10 days following the report. On the earnings day itself, the stock moves by -1.23%. This data can give you a slight idea of what to expect for the next quarter's release.
DELL Key Earning Data
DELL Earnings Analysis
Positive
Year-over-Year Revenue Increase: Revenue growth of 8% year-over-year, reaching $95.6 billion for FY '25.
Strong Profitability Increase: Operating income increased to $8.5 billion, demonstrating strong profitability.
Record EPS Achievement: Record EPS of $8.14, up 10% year-over-year, indicating effective cost management and revenue growth.
Strong Cash Generation: Cash flow from operations was $4.5 billion, showcasing strong cash generation capabilities.
Q4 Revenue Surge: ISG revenue grew 22% in Q4, driven by strong demand for servers and storage solutions.
AI Demand and Backlog: AI orders demand reached $1.7 billion in Q4, with a backlog of $9 billion, highlighting strong market positioning in AI.
Storage Demand Growth: PowerStore and PowerScale saw double-digit demand growth, indicating strong product performance in storage.
Commercial PC Revenue Growth: Commercial PC revenue grew 5%, marking the second consecutive quarter of growth, signaling recovery in the market.
Dividend Increase Announcement: Announced an 18% increase in annual dividend to $2.10 per share, reflecting confidence in future performance.
FY '26 Revenue Guidance: Guidance for FY '26 revenue growth of 8%, with expectations for continued growth in ISG and CSG segments.
Negative
Q4 Revenue Growth Analysis: Revenue growth of 7% in Q4 was primarily driven by ISG, while CSG saw only 1% growth, indicating a slowdown in consumer demand.
Consumer Revenue Decline: Consumer revenue decreased by 12%, highlighting ongoing challenges in the consumer market and a competitive pricing environment.
Gross Margin Decline Factors: Gross margin declined by 50 basis points due to increased competition in CSG and a shift towards AI-optimized server mix, which may affect profitability.
Operating Income Rate Decline: Operating income rate for CSG decreased by 90 basis points sequentially, reflecting weaker-than-expected profitability in the commercial segment.
Demand Environment Challenges: Despite strong performance in ISG, the overall demand environment is lagging behind traditional servers, indicating potential future challenges.
Gross Margin Decline Forecast: The company expects a decline in gross margin rate by roughly 100 basis points in FY '26 due to a higher mix of AI-optimized servers and competitive pressures.
Liquidity Concerns in Operations: Cash flow from operations was only $0.6 billion, indicating potential liquidity concerns amid working capital challenges.
High Inventory Concerns: Inventory levels were high at $6.7 billion, which could signal overstocking or reduced demand for certain products.
DELL FAQs
How does DELL typically perform around its earnings report dates?
DELL's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a -2.26% change leading up to the report and a -0.82% change in the 10 days following the release.
Is Dell Technologies Inc (DELL) Q4 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
DELL Earning Call Sentiment
Dell Technologies Inc. (DELL) Q4 2025 Earnings Call Transcript
DELL.N
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