FMP
Dell Technologies Shares Plummet 21% on Gross Margin Contraction
May 31, 2024 4:44 PM - Davit Kirakosyan
Image credit: FMP
Dell Technologies (NYSE:DELL) shares dropped 21% intra-day today following the release of its Q1 results, which showed a 2.5% decrease in gross margins, driven by a slowdown in demand for its AI servers.
The tech giant reported first-quarter revenue of $22.2 billion, a 6% increase from the same period last year and above the consensus estimate of $21.65 billion.
The company's Infrastructure Solutions Group (ISG) was a highlight, with revenue up 22% year-over-year to $9.2 billion, driven by a record 42% increase in servers and networking revenue, which reached $5.5 billion.
Conversely, the Client Solutions Group (CSG) saw flat year-over-year revenue at $12.0 billion, with a modest 3% rise in commercial client revenue.
Dell's adjusted earnings per share (EPS) for the quarter came in at $1.27, slightly exceeding the analyst estimate of $1.25, but representing a 3% decrease from the previous year.
Other Blogs
Jan 16, 2024 4:18 PM - Samuel Abdelshahid
Budget-Friendly Trading Laptops: Maximizing Value without Compromising Performance
In the hustle and bustle of the trading world, having a trustworthy laptop is like having a reliable partner by your side. Making well-informed decisions and staying ahead of market trends become second nature with the right device. However, the quest for a budget-friendly trading laptop t...
Jan 21, 2024 4:00 AM - Parth Sanghvi
Understanding Profitability Metrics: Exploring ROE, ROA, and Net Profit Margin
Introduction: In the world of financial analysis, a profound grasp of essential profitability metrics is vital. This blog delves into three pivotal metrics—ROE (Return on Equity), ROA (Return on Assets), and Net Profit Margin—offering clear insights without unnecessary complexity. Exploring RO...
May 14, 2024 11:41 AM - Sanzhi Kobzhan
The easiest way to calculate stock’s target price and why the target price is important.
A stock's target price, also known as its fair value, is an indication of what a share can cost based on the company’s forecasted financial statements. It is important to know a stock's fair value to find undervalued stocks with great growth potential. Let's consider how investment analysts calculat...
