Dell Technologies
Market Cap
US$26.9b
Last Updated
2020/04/04 01:47 UTC
Data Sources
Company Financials +
Executive Summary
Dell Technologies Inc. designs, develops, manufactures, markets, sells, and supports information technology (IT) products and services worldwide.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -100.6% per year for the next 3 years
Snowflake Analysis
Good value with questionable track record.
Similar Companies
Share Price & News
How has Dell Technologies's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DELL's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-6.0%
DELL
-1.4%
US Tech
-2.0%
US Market
1 Year Return
-41.4%
DELL
18.9%
US Tech
-15.1%
US Market
Return vs Industry: DELL underperformed the US Tech industry which returned 25.8% over the past year.
Return vs Market: DELL underperformed the US Market which returned -10.7% over the past year.
Shareholder returns
| DELL | Industry | Market | |
|---|---|---|---|
| 7 Day | -6.0% | -1.4% | -2.0% |
| 30 Day | -10.8% | -19.3% | -19.7% |
| 90 Day | -27.9% | -18.8% | -23.2% |
| 1 Year | -41.4%-41.4% | 20.7%18.9% | -13.4%-15.1% |
| 3 Year | n/a | 65.8%56.1% | 10.9%3.7% |
| 5 Year | n/a | 92.4%73.5% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is Dell Technologies's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Here's Why Dell Technologies (NYSE:DELL) Has A Meaningful Debt Burden1 month ago | Simply Wall St
Is There An Opportunity With Dell Technologies Inc.'s (NYSE:DELL) 41% Undervaluation?2 months ago | Simply Wall St
Is Dell Technologies Inc. (NYSE:DELL) Struggling With Its 4.5% Return On Capital Employed?Valuation
Is Dell Technologies undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DELL ($39.55) is trading below our estimate of fair value ($80.55)
Significantly Below Fair Value: DELL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: DELL is good value based on its PE Ratio (6.2x) compared to the Tech industry average (17.1x).
PE vs Market: DELL is good value based on its PE Ratio (6.2x) compared to the US market (13.1x).
Price to Earnings Growth Ratio
PEG Ratio: DELL's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: DELL has negative assets, so we can't compare its PB Ratio to the US Tech industry average.
Next Steps
Future Growth
How is Dell Technologies forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
-100.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DELL's earnings are forecast to decline over the next 3 years (-100.6% per year).
Earnings vs Market: DELL's earnings are forecast to decline over the next 3 years (-100.6% per year).
High Growth Earnings: DELL's earnings are forecast to decline over the next 3 years.
Revenue vs Market: DELL's revenue (1.2% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: DELL's revenue (1.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DELL's Return on Equity is forecast to be very high in 3 years time (137%).
Next Steps
Past Performance
How has Dell Technologies performed over the past 5 years?
25.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DELL has a large one-off loss of $420.0M impacting its January 31 2020 financial results.
Growing Profit Margin: DELL became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: DELL has become profitable over the past 5 years, growing earnings by 25.4% per year.
Accelerating Growth: DELL has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: DELL has become profitable in the last year, making it difficult to compare its past year earnings growth to the Tech industry (-0.6%).
Return on Equity
High ROE: Whilst DELL's Return on Equity (175.25%) is outstanding, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is Dell Technologies's financial position?
Financial Position Analysis
Short Term Liabilities: DELL's short term assets ($36.9B) do not cover its short term liabilities ($52.5B).
Long Term Liabilities: DELL's short term assets ($36.9B) do not cover its long term liabilities ($63.3B).
Debt to Equity History and Analysis
Debt Level: DELL's debt to equity ratio (1650%) is considered high.
Reducing Debt: DELL's debt to equity ratio has increased from 487.4% to 1650% over the past 5 years.
Balance Sheet
Inventory Level: DELL has a low level of unsold assets or inventory.
Debt Coverage by Assets: DELL's debt is not covered by short term assets (assets are 0.7x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: DELL is profitable, therefore cash runway is not a concern.
Forecast Cash Runway: DELL is profitable, therefore cash runway is not a concern.
Next Steps
Dividend
What is Dell Technologies's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate DELL's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate DELL's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if DELL's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if DELL's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of DELL's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.9yrs
Average management tenure
CEO
Michael Dell (54yo)
no data
Tenure
US$3,623,801
Compensation
Mr. Michael S. Dell serves as the Founder at MSD Capital, L.P. He has been the Chief Executive Officer at Dell Corporation Limited since 1992. Mr. Dell serves as Chairman and Chief Executive Officer at Del ...
CEO Compensation Analysis
Compensation vs Market: Michael's total compensation ($USD3.62M) is below average for companies of similar size in the US market ($USD11.77M).
Compensation vs Earnings: Michael's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | no data | US$3.62m | 0.19% $50.3m | |
| Vice Chairman & COO | 0.33yr | US$6.45m | 0.027% $7.3m | |
| Executive VP & CFO | 6.25yrs | US$4.23m | 0.00079% $212.9k | |
| President of Global Sales & Customer Operations | no data | US$6.50m | 0.053% $14.2m | |
| Chief Marketing Officer | 2.08yrs | US$13.42m | 0.0069% $1.9m | |
| Senior VP of Corporate Finance & Chief Accounting Officer | no data | no data | 0.0080% $2.2m | |
| Senior Vice President of Investor Relations | no data | no data | no data | |
| General Counsel & Secretary | 6.42yrs | no data | 0.0082% $2.2m | |
| Chief Human Resources Officer | 3.58yrs | no data | 0.00046% $124.0k | |
| Executive VP & Chief Customer Officer | 9.58yrs | no data | 0.023% $6.1m |
4.9yrs
Average Tenure
55yo
Average Age
Experienced Management: DELL's management team is considered experienced (4.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Chairman & CEO | no data | US$3.62m | 0.19% $50.3m | |
| Vice Chairman & COO | 0.33yr | US$6.45m | 0.027% $7.3m | |
| Director | 6.5yrs | no data | no data | |
| Independent Director | 3.58yrs | US$544.99k | 0.00097% $261.4k | |
| Independent Director | 3.58yrs | US$519.99k | 0.0020% $528.1k | |
| Independent Director | 3.58yrs | US$324.99k | 0.00031% $83.5k | |
| Director | 6.5yrs | no data | no data | |
| Independent Director | 1yr | no data | no data |
3.6yrs
Average Tenure
55yo
Average Age
Experienced Board: DELL's board of directors are considered experienced (3.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DELL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Dell Technologies Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Dell Technologies Inc.
- Ticker: DELL
- Exchange: NYSE
- Founded: 1984
- Industry: Technology Hardware, Storage and Peripherals
- Sector: Tech
- Market Cap: US$26.946b
- Shares outstanding: 739.47m
- Website: https://www.delltechnologies.com/en-us/index.htm
Number of Employees
Location
- Dell Technologies Inc.
- One Dell Way
- Round Rock
- Texas
- 78682
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 12D | DB (Deutsche Boerse AG) | Class V Common Stock | DE | EUR | Aug 2016 | |
| DELL | NYSE (New York Stock Exchange) | Yes | Class C Common Shares | US | USD | Dec 2018 |
| DELL | WBAG (Wiener Boerse AG) | Yes | Class C Common Shares | AT | EUR | Dec 2018 |
| DELLC * | BMV (Bolsa Mexicana de Valores) | Yes | Class C Common Shares | MX | MXN | Dec 2018 |
| 12DA | MUN (Boerse Muenchen) | Yes | Class C Common Shares | DE | EUR | Dec 2018 |
| 12DA | DB (Deutsche Boerse AG) | Yes | Class C Common Shares | DE | EUR | Dec 2018 |
| D1EL34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM | BR | BRL | Jan 2020 |
Biography
Dell Technologies Inc. designs, develops, manufactures, markets, sells, and supports information technology (IT) products and services worldwide. It operates through three segments: Infrastructure Solutions Group (ISG), Client Solutions Group (CSG), and VMware. The ISG segment provides traditional and next-generation storage solutions; and rack, blade, tower, and hyperscale servers. It also offers networking products and services that help its business customers to transform and modernize their infrastructure, mobilize and enrich end-user experiences, and accelerate business applications and processes; and attached software, and peripherals, as well as support and deployment, configuration, and extended warranty services. The CSG segment offers desktops, notebooks, and workstations; displays and projectors; third-party software and peripherals; and support and deployment, configuration, and extended warranty services. The VMware segment offers compute, cloud management, and networking, as well as security storage, availability, and other end-user computing offerings that provides a flexible digital foundation to enable the digital transformation. The company also offers cloud-native platform that makes software development and IT operations a strategic advantage for customers; information security and cybersecurity solutions; cloud software and infrastructure-as-a-service solutions that enable customers to migrate, run, and manage mission-critical applications in cloud-based IT environments; cloud-based integration services; and financial services. It has a collaboration with Microsoft to deliver a joint Internet of Things (IoT) solution, as well as a partnership with ipoque GmbH. The company was formerly known as Denali Holding Inc. and changed its name to Dell Technologies Inc. in August 2016. Dell Technologies Inc. was founded in 1984 and is headquartered in Round Rock, Texas.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/04 01:47 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2020/01/31 |
| Annual Earnings | 2020/01/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.