Computer hardware and IT solutions company Dell (NYSE:DELL) will be announcing earnings results this Thursday after market hours. Here’s what to expect.
Dell beat analysts’ revenue expectations by 1.1% last quarter, reporting revenues of $23.38 billion, up 5.1% year on year. It was a softer quarter for the company, with a significant miss of analysts’ operating income estimates and a significant miss of analysts’ EPS guidance for next quarter estimates.
Is Dell a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Dell’s revenue to grow 16.8% year on year to $29.23 billion, improving from the 9.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.29 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Dell has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Dell’s peers in the hardware & infrastructure segment, some have already reported their Q2 results, giving us a hint as to what we can expect. IonQ delivered year-on-year revenue growth of 81.8%, beating analysts’ expectations by 21.5%, and Diebold Nixdorf reported a revenue decline of 2.6%, topping estimates by 3.3%. IonQ traded down 1.7% following the results while Diebold Nixdorf was up 6.6%.
Read our full analysis of IonQ’s results here and Diebold Nixdorf’s results here.
Investors in the hardware & infrastructure segment have had steady hands going into earnings, with share prices up 1.2% on average over the last month. Dell is down 1.4% during the same time and is heading into earnings with an average analyst price target of $142.76 (compared to the current share price of $132).
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