Analyzing Dell Technologies (DVMT) and Its Rivals

Dell Technologies (NYSE: DVMT) is one of 12 publicly-traded companies in the “Electronic computers” industry, but how does it weigh in compared to its rivals? We will compare Dell Technologies to similar companies based on the strength of its profitability, earnings, valuation, dividends, institutional ownership, risk and analyst recommendations.

Valuation and Earnings

This table compares Dell Technologies and its rivals revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Dell Technologies $78.66 billion -$3.73 billion 11.76
Dell Technologies Competitors $26.48 billion $3.71 billion 81.41

Dell Technologies has higher revenue, but lower earnings than its rivals. Dell Technologies is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Dell Technologies and its rivals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Dell Technologies -4.74% 22.63% 3.19%
Dell Technologies Competitors -3.88% 8.58% 2.34%

Insider & Institutional Ownership

23.1% of Dell Technologies shares are owned by institutional investors. Comparatively, 59.5% of shares of all “Electronic computers” companies are owned by institutional investors. 45.0% of Dell Technologies shares are owned by insiders. Comparatively, 17.0% of shares of all “Electronic computers” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Dell Technologies and its rivals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Dell Technologies 0 1 3 0 2.75
Dell Technologies Competitors 120 712 2380 62 2.73

Dell Technologies currently has a consensus target price of $110.00, indicating a potential upside of 51.60%. As a group, “Electronic computers” companies have a potential upside of 17.27%. Given Dell Technologies’ stronger consensus rating and higher possible upside, equities analysts plainly believe Dell Technologies is more favorable than its rivals.

Volatility and Risk

Dell Technologies has a beta of -0.49, meaning that its share price is 149% less volatile than the S&P 500. Comparatively, Dell Technologies’ rivals have a beta of 0.09, meaning that their average share price is 91% less volatile than the S&P 500.

Summary

Dell Technologies beats its rivals on 7 of the 13 factors compared.

Dell Technologies Company Profile

Dell Technologies Inc., formerly Denali Holding Inc., is a provider of information technology solutions. The Company operates through two segments: Client Solutions and Enterprise Solutions Group (ESG). The Client Solutions segment includes sales to commercial and consumer customers of desktops, thin client products and notebooks, as well as services and third-party software and peripherals closely tied to the sale of Client Solutions hardware. Its offerings include hardware, such as desktop personal computers, notebooks and tablets, and peripherals, such as monitors, printers and projectors, as well as third-party software and peripherals. The ESG segment includes servers, networking and storage, as well as services and third-party software and peripherals that are closely tied to the sale of ESG hardware. It designs, develops, manufactures, markets, sells and supports a range of products and services.

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