Dell Stock Notches Record High On AI Momentum

Dell Stock Notches Record High On AI Momentum

Dell Technologies (DELL) is seeing strong momentum thanks to demand for AI servers, high-end storage hardware and personal computers, a Wall Street analyst said Wednesday. Dell stock is in record territory.




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“We see a positive setup for Dell as we approach 2025,” BofA Securities analyst Wamsi Mohan said in a client note. The company benefited from last week’s product launch at its Dell Technologies World 2024 conference in Las Vegas, he said.

Mohan reiterated his buy rating on Dell stock and raised his price target to 180 from 130.

On the stock market today, Dell stock jumped 7.9% to close at 179.21. Earlier in the session, Dell hit an all-time high of 179.70, its fourth record high in as many trading sessions.

Dell shares qualify as ‘under-owned’

“Dell remains an underowned and underweight stock and with the potential catalysts of AI and potential inclusion in the S&P,” Mohan said.

The Round Rock, Texas-based computer maker plans to release its first-quarter financial results after the market closes Thursday.

Dell is benefiting from upgrading its infrastructure for generative AI in data centers, Mohan said. The company should also benefit from the PC refresh cycle, fueled by the introduction of AI PCs, he said.

To his Dell Technologies Global Conference From May 20 to 23, the company introduced new AI PCs, AI servers, all-flash storage and networking architecture. It also announced an expanded collaboration with the AI ​​chipmaker. Nvidia (NVDA).

Dell stock ranks third out of 15 stocks in IBD’s Computer Hardware and Peripherals industry group, according to Checking ITN stocks. He has a IBD Composite Rating 86 out of 99.

IBD’s Composite Rating combines five distinct proprietary ratings into one easy-to-use rating. The best growth stocks have a Composite Rating of 90 or better.

Follow Patrick Seitz on @IBD_PSeitz for more articles on consumer technology, software and semiconductor stocks.

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