DELL Relative Valuation
DELL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, DELL is overvalued; if below, it's undervalued.
Historical Valuation
Dell Technologies Inc (DELL) is now in the Fair zone, suggesting that its current forward PE ratio of 11.04 is considered Fairly compared with the five-year average of 10.74. The fair price of Dell Technologies Inc (DELL) is between 96.33 to 151.90 according to relative valuation methord.
Relative Value
Fair Zone
96.33-151.90
Current Price：120.07
Fair
11.04
PE
1Y
3Y
5Y
8.15
EV/EBITDA
Dell Technologies Inc. (DELL) has a current EV/EBITDA of 8.15. The 5-year average EV/EBITDA is 7.75. The thresholds are as follows: Strongly Undervalued below 3.84, Undervalued between 3.84 and 5.80, Fairly Valued between 9.71 and 5.80, Overvalued between 9.71 and 11.66, and Strongly Overvalued above 11.66. The current Forward EV/EBITDA of 8.15 falls within the Historic Trend Line -Fairly Valued range.
9.95
EV/EBIT
Dell Technologies Inc. (DELL) has a current EV/EBIT of 9.95. The 5-year average EV/EBIT is 9.96. The thresholds are as follows: Strongly Undervalued below 5.42, Undervalued between 5.42 and 7.69, Fairly Valued between 12.23 and 7.69, Overvalued between 12.23 and 14.50, and Strongly Overvalued above 14.50. The current Forward EV/EBIT of 9.95 falls within the Historic Trend Line -Fairly Valued range.
0.69
PS
Dell Technologies Inc. (DELL) has a current PS of 0.69. The 5-year average PS is 0.61. The thresholds are as follows: Strongly Undervalued below 0.17, Undervalued between 0.17 and 0.39, Fairly Valued between 0.83 and 0.39, Overvalued between 0.83 and 1.04, and Strongly Overvalued above 1.04. The current Forward PS of 0.69 falls within the Historic Trend Line -Fairly Valued range.
8.01
P/OCF
Dell Technologies Inc. (DELL) has a current P/OCF of 8.01. The 5-year average P/OCF is 8.88. The thresholds are as follows: Strongly Undervalued below 1.34, Undervalued between 1.34 and 5.11, Fairly Valued between 12.65 and 5.11, Overvalued between 12.65 and 16.42, and Strongly Overvalued above 16.42. The current Forward P/OCF of 8.01 falls within the Historic Trend Line -Fairly Valued range.
10.25
P/FCF
Dell Technologies Inc. (DELL) has a current P/FCF of 10.25. The 5-year average P/FCF is 22.31. The thresholds are as follows: Strongly Undervalued below -45.12, Undervalued between -45.12 and -11.40, Fairly Valued between 56.03 and -11.40, Overvalued between 56.03 and 89.75, and Strongly Overvalued above 89.75. The current Forward P/FCF of 10.25 falls within the Historic Trend Line -Fairly Valued range.
Dell Technologies Inc (DELL) has a current Price-to-Book (P/B) ratio of -32.54. Compared to its 3-year average P/B ratio of -26.46 , the current P/B ratio is approximately 22.95% higher. Relative to its 5-year average P/B ratio of -14.27, the current P/B ratio is about 128.01% higher. Dell Technologies Inc (DELL) has a Forward Free Cash Flow (FCF) yield of approximately 5.25%. Compared to its 3-year average FCF yield of 6.01%, the current FCF yield is approximately -12.59% lower. Relative to its 5-year average FCF yield of 9.62% , the current FCF yield is about -45.39% lower.
-32.54
P/B
Median3y
-26.46
Median5y
-14.27
5.25
FCF Yield
Median3y
6.01
Median5y
9.62
Competitors Valuation Multiple
The average P/S ratio for DELL's competitors is 77.24, providing a benchmark for relative valuation. Dell Technologies Inc Corp (DELL) exhibits a P/S ratio of 0.69, which is -99.1% above the industry average. Given its robust revenue growth of 10.83%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of DELL increased by 15.90% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 4.80 to 5.73.
The secondary factor is the Revenue Growth, contributed 10.83%to the performance.
Overall, the performance of DELL in the past 1 year is driven by Margin Expansion. Which is more sustainable.
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Frequently Asked Questions
Is Dell Technologies Inc (DELL) currently overvalued or undervalued?
Dell Technologies Inc (DELL) is now in the Fair zone, suggesting that its current forward PE ratio of 11.04 is considered Fairly compared with the five-year average of 10.74. The fair price of Dell Technologies Inc (DELL) is between 96.33 to 151.90 according to relative valuation methord.
What is Dell Technologies Inc (DELL) fair value?
DELL's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Dell Technologies Inc (DELL) is between 96.33 to 151.90 according to relative valuation methord.
How does DELL's valuation metrics compare to the industry average?
The average P/S ratio for DELL's competitors is 77.24, providing a benchmark for relative valuation. Dell Technologies Inc Corp (DELL) exhibits a P/S ratio of 0.69, which is -99.10% above the industry average. Given its robust revenue growth of 10.83%, this premium appears unsustainable.
What is the current P/B ratio for Dell Technologies Inc (DELL) as of Jan 09 2026?
As of Jan 09 2026, Dell Technologies Inc (DELL) has a P/B ratio of -32.54. This indicates that the market values DELL at -32.54 times its book value.
What is the current FCF Yield for Dell Technologies Inc (DELL) as of Jan 09 2026?
As of Jan 09 2026, Dell Technologies Inc (DELL) has a FCF Yield of 5.25%. This means that for every dollar of Dell Technologies Inc’s market capitalization, the company generates 5.25 cents in free cash flow.
What is the current Forward P/E ratio for Dell Technologies Inc (DELL) as of Jan 09 2026?
As of Jan 09 2026, Dell Technologies Inc (DELL) has a Forward P/E ratio of 11.04. This means the market is willing to pay $11.04 for every dollar of Dell Technologies Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Dell Technologies Inc (DELL) as of Jan 09 2026?
As of Jan 09 2026, Dell Technologies Inc (DELL) has a Forward P/S ratio of 0.69. This means the market is valuing DELL at $0.69 for every dollar of expected revenue over the next 12 months.