Dell Earnings Are Here! Should You Buy Now?

追加: 2026-05-31

[00:00:00]Happy Thursday. What's going on, guys?

[00:00:02]It's Ricky with Tacket Solutions. Hope that you guys are all having an amazing Thursday. Check this out. Dell just reported earnings. Making sure that you guys could see my screen. They absolutely killed it. Meaning that they actually beat earnings expectation. And this is after an already insane rally.

[00:00:21]Trump, I think it was a week or two weeks ago, promoted them. Said, "I love Dell. I met the company, the owners, and you know, everyone should invest in Dell. It rallied because of that. I'm not a big supporter of the president promoting companies, even if they are US-based. I see that to be a form of market manipulation, especially if we do not have it fully disclosed if Trump or anybody in the administration is invested. But this and what it reported today is actually good, right? If you actually pay attention to the news, Dell soarses 22% after hours as AI server demand drives blows results and guidance was also better than what was expected.

[00:01:04]Jumping on into the investing pro software, we could see that based off of earnings expectation for EPS, there was a 68% surprise, much higher than what was expected. Revenue also 25.8% 8% higher than what was expected. Again, there's sometimes a small beat and then there's what Dell just did and they killed it. They absolutely destroyed their earnings. If you jump on over into the overview section, you could see that based off of fair value analyst, which obviously can get updated as the guidance just got raised for 2027, you can see that the forward guidance was expected to be 144 billion and is now expected to be 167 billion. Now, again, there's already been a lot of hype with Dell. A lot of this is already kind of priced in, but they now just exceeded expectation. And on top of that, this is where analysts can now follow up and begin to raise price targets, even pushing the stock higher if they continue to exceed investors expectation. So, that's something that I would definitely uh look out for. EPS is up 214% year-over-year. Revenue is up 88% year-over-year. EPS is up 25% quarter over quarter and revenue is up 31% quarter over quarter. Again, there's slightly beating expectation and then absolutely destroying it. They killed it. You guys know that if I think something is incredibly overhyped up, I have no problem calling it out for what it is. There's moments like this where yes, the stock was hyped up, right? If you actually pay attention to it on the 1 hour time frame, you could see I'm sorry, the 4 hour time frame, you could see that it's been incredibly bullish with the rest of tech and how irrational markets have been. It's already up over 100% in like two months, but now it just delivered better than expected earnings, fully exceeding markets expectation. So this kind of again it it brings you back to the idea of not only are they talking the talk with their price action but now they're walking the walk with their fundamentals which complet being completely honest this is not something that all of big tech does right especially right now a lot of these semiconductor companies or quantum companies a lot of these AI companies are all overhyped up you know overvalued companies Dell's been established and to see that they are still growing at such an accelerated Right. I think that's quite impressive.

[00:03:39]They're up over 25% and rising during the aftermarket hours. Now, does this mean that you have to jump into this?

[00:03:47]No. This definitely could be an overreaction. That's kind of where you have to decide and ask yourself. It's always a riskto-reward. Only you should be able to decide. Ask yourself, well, what is your potential for profit and what is your potential for loss? And then weigh out your options. How much money do you plan to invest in it? What could you potentially lose based off of where you would cut losses? and how much could you potentially make based off of how much more upside you see there to be? And that's kind of where I would say the question lies. Fair value as of right now still offers 41% downside based off of fair value analysts price targets. It's not trading at a crazy high PA PE ratio, but this is most likely expected to rise tomorrow because it's not taking what just happened after market hours into consideration. So it might be trading at a 40p ratio, which again historically speaking is high, but it's not unbearable, right? Nvidia trades at that P ratio. So it is trading at a slight premium, but nothing so far-fetched like a lot of these other quantum companies. And again, if you look into the pro research using investing pro, you could see that they are kind of turning things around.

[00:04:56]There's a lot of companies that will feed you the story that no, we plan to turn things around. We have a new CEO.

[00:05:04]We have new management. We have a new vision. But it's the same company that loses money. And then you have companies like Dell that again, yes, there was hype behind it. I think we all should acknowledge that there.

[00:05:17]Not only is there hype behind it, markets are incredibly irrational. And then on top of that, the Trump administration came in to promote it.

[00:05:23]But with that being said, you can actually see fundamentally things are beginning to turn around. And at the end of the day, it's not only are they taking advantage of the opportunity of price action being in their favor, but they did it in a way that also they are fundamentally performing better as a company. And that is again for me not just talking the talk, but walking the walk. With that being said, would I buy Dell at these elevated levels? I would definitely second guess it especially with its performance today. I do have to say that that P ratio is incredibly low.

[00:05:59]Maybe if there is a slight correction I wouldn't mind being invested into Dell.

[00:06:04]Investing means not trading in a short period of time means I'm investing for a long period of time. But I would like there to be some form of a slight correction. And the thing that I do want to share with you is the last news is that the S&P 500 surges to its highest level today as reports of the US and Iran have reached a deal with pending President Trump's approval.

[00:06:26]I just don't know what to believe. Now we're hearing from Iranian um news outlets that this isn't true and we've just been fed the same story over and over again. If this isn't true and there isn't actually a deal and this is all hype, then you could expect that markets are likely to drop and oil will likely recover once that is confirmed. If there is a deal, then yeah, markets can push higher. The thing that I would really like to look out for is this is kind of the elephant in the room, the uncertainty. And it's not until this is confirmed that then I can invest with more conviction once we fully understand that yes, the deal is closed and we don't have to worry about that external variable that can act as a positive or negative catalyst out of nowhere. Until then, if there is still that uncertainty and markets do begin to drop because there isn't a deal, then I would rather wait for them to kind of, you know, factor in that news, see if there is a correction, and then maybe buy the dip on good quality companies that I haven't been invested in yet. Dell possibly being one of them. But in my opinion, just right now, and I know that it could 100% continue to push higher. It's up 25% today after market hours. Who knows, maybe tomorrow it will be up 30 to 40%.

[00:07:44]We've seen crazy moves lately. Anything is possible when there's so much greed in the market. With that being said, it's overbought enough that risk toreward-wise, I feel like I've missed out. And I'm okay with that. I'll just wait for a better deal to present itself. I know it's only a matter of time. I just have to be patient because again, I'm not choosing or wanting to trade Dell. I want to invest in Dell. A very different approach. With that being said, I wanted to do my part in just keeping you guys up to date. Do not forget if you ever want to watch me trade live and get access to these daily live sessions, I go live every morning with our LPP team. You can get $300 off, which is nearly 50% off. And it's the second link in the description down below. When you head on over to our homepage, it will explain exactly what's included. It's a onetime payment for lifetime access. You can preview one of our previous live trading sessions. We have members that signed up back in 2018. They paid once and they still have access to this today. So again, it will also have a little popup where it will share the discount code with you to be able to save $300 at checkout. So again, if you want to check that out, second link down below. And don't forget the software that we use today is Investing Pro. If you want to download this software, it's super cheap. It's on sale and it's the first link in the description down below. I appreciate guys' time. I hope that earned a thumbs up. You guys let me know down in the comments section what you think. Is Dell still a good enough deal that you would consider investing it right now? Or is it overbought enough that you would rather just focus on trading it instead of investing in it? Let me know down below. I don't think there's a right or wrong answer. It just really depends on kind of your risk tolerance, but also your intention with the stock. So, appreciate your time. Hope that earned a thumbs up. Don't forget to subscribe.

[00:09:32]Like always, let's make sure that we end the year on a green note. Take care team.