Dell Technologies Inc. designs, develops, manufactures, markets, sells, and supports various comprehensive and integrated solutions, products, and services in the Americas, Europe, the Middle East, Asia, and internationally. The company operates through two segments, Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG). The ISG segment provides modern and traditional storage solutions, including all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage; and general-purpose and AI-optimized servers. This segment also offers networking products and services comprising wide area network infrastructure, data center and edge networking switches, and cables and optics that help its business customers to transform and modernize their infrastructure, mobilize and enrich end-user experiences, and accelerate business applications and processes; software and peripherals; and consulting, support, and deployment services. The CSG segment provides desktops, workstations, and notebooks; displays, docking stations, keyboards, mice, webcam, and audio devices; and third-party software and peripherals, as well as configuration, support and deployment, and extended warranty services. It is involved in cybersecurity technology-driven security solutions to prevent security breaches, detect malicious activity, respond rapidly when a security breach occurs, and identify emerging threats; originating, collecting, and servicing customer financing arrangements; and the resale of VMware products and services. The company serves enterprises, public institutions, and small and medium-sized businesses through its direct sales channel, value-added resellers, system integrators, distributors, and retailers. 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.

Dell Technologies Inc.

Apple’s AAPL fourth-quarter fiscal 2025 results, to be reported on Oct. 30, are expected to have benefited from strong Services revenues and Mac sales.
The Services business is expected to have benefited from a growing installed base of devices as well as subscriber base of its offerings, including Apple TV+, Apple Pay, Apple Music and more. Apple had more than 1 billion paid subscribers across its Services portfolio at the end of the fiscal third quarter. Paid subscriptions grew double-digits, a trend expected to have continued in the to-be-reported quarter.
However, while Mac sales are expected to grow year over year, iPad is anticipated to decline.
Apple Inc. Revenue (TTM)
Click here to learn how Apple’s overall fiscal fourth-quarter earnings results are likely to be.
Services Growth to Ride on Apple TV+, Strong Install Base
Apple’s streaming business, Apple TV+, is benefiting from a strong content portfolio. The service won 22 Emmys at the 77th Primetime Emmy Awards, best-ever in Apple TV+’s history, driven by The Studio, Severance and Slow Horses.
However, Apple TV+ is suffering from stiff competition in the streaming space from the likes of Disney’s DIS Disney+, Netflix NFLX and Peacock. For the fiscal fourth quarter, Disney expects a modest increase in its Disney+ subscriber base on a sequential basis. For the fourth quarter of fiscal 2025, Netflix projects $11.96 billion in revenues with 16.7% growth, featuring major releases, including Stranger Things' final season and NFL Christmas games.
Apple raised the Apple TV+ monthly subscription to $12.99. Revenues from Apple TV+ are reported under Apple’s Services business, which accounted for 29.2% of third-quarter fiscal 2025 sales.
The Zacks Consensus Estimate for fourth-quarter fiscal 2025 Services is pegged at $28.05 billion, suggesting 12.3% year-over-year growth.
Apple to Benefit From Y/Y Growth in Mac Sales
The PC segment climbed up in the third quarter of calendar 2025. Per IDC, Apple had a market share of 9%, up 30 basis points (bps) on a year-over-year basis. Shipment grew 13.7% year over year to 6.8 million. Per Gartner, Apple had a market share of 8.9%, up 20 bps year over year.
In terms of shipments, Apple trails Lenovo’s growth of 17.3%, per IDC data. Dell Technologies’ DELL shipment increased 2.6%, while HP saw shipment growth of 10.7%. According to Gartner’s list, Lenovo was placed at the #1 spot with shipment growth of 16.6%, trailed by Apple’s 10.7%, HP’s 10.6% and Dell Technologies’ 2.5% growth.
The Zacks Consensus Estimate for fiscal fourth-quarter Mac net sales is pegged at $8.44 billion, suggesting 9% year-over-year growth.
Apple’s iPad Sales to Decrease Y/Y
iPad accounted for roughly 7% of fiscal fourth-quarter net sales. However, iPad revenues are expected to have suffered from sluggish demand in the to-be-reported quarter.
The Zacks Consensus Estimate for fiscal fourth-quarter iPad net sales is pegged at $6.9 billion, suggesting a 0.8% year-over-year decline.
Zacks Rank
Apple currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
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How Will Services, Mac and iPad Fare in Apple's Q4 Earnings?

For Immediate Release
Chicago, IL – October 28, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Apple AAPL, Lenovo LNVGY, Dell Technologies DELL and HP HPQ.
Here are highlights from Monday’s Analyst Blog:
Apple Set to Report Q4 Earnings: Buy, Sell or Hold AAPL Stock?
Apple is set to report fourth-quarter fiscal 2025 results on Oct. 30.
Apple expects fourth-quarter fiscal 2025 net sales to grow in the mid to high single digits on a year-over-year basis. The company expects the Services year-over-year growth rate to be similar to that of the June quarter (13.3%). Gross margin is expected to be 46-47% in the fourth quarter of fiscal 2025, including a tariff impact of $$1.1 billion. Operating expenses are expected to be between $15.6 billion and $15.8 billion.
The Zacks Consensus Estimate for fiscal fourth-quarter net sales is pegged at $101.19 billion, indicating year-over-year growth of 6.6%.
The consensus mark for earnings is pegged at $1.73 per share, down by a penny over the past 30 days. The estimate indicates a 5.5% increase from the year-ago quarter’s reported figure.
AAPL’s earnings beat the Zacks Consensus Estimate in all the trailing four quarters, the earnings surprise being 6.2%, on average.
Let us see how things have shaped up prior to this announcement.
Apple’s iPhone Sales Likely to Rise Y/Y in Q4
Apple’s fortunes are heavily reliant on the iPhone, which is by far its biggest revenue contributor. The device accounted for 47.4% of net sales in the third quarter of fiscal 2025, wherein sales increased 13.5% year over year to $44.58 billion. The Zacks Consensus Estimate for fiscal fourth-quarter iPhone net sales is pegged at $49.75 billion, suggesting a 7.6% year-over-year growth.
iPhone sales have been suffering from stiff competition in China from Chinese vendors, including Huawei and Xiaomi. China is an important market for Apple as the iPhone maker’s manufacturing is primarily concentrated in the country. Per Counterpoint data, Apple shipments increased 1% year over year, driven by price discounts for the iPhone 16. However, Apple, with 15% market share, trailed Huawei, Vivo, OPPO and Xiaomi.
The Zacks Consensus Estimate for fiscal fourth-quarter China sales is pegged at $16.23 billion, suggesting 8% growth from the figure reported in the year-ago quarter.
AAPL’s Services to Grow in the Double Digits in Q4
An expanding paid subscriber base has been a key catalyst for the Services business, which has been riding on the increasing popularity of the App Store and an expanding installed base of devices. Apple has more than 1 billion paid subscribers across its Services portfolio, offering Apple TV+, Apple Arcade, Apple News+, Apple Card, Apple Fitness+ and Apple One bundle.
The consensus mark for Services is pegged at $26.96 billion, suggesting 12.3% growth on a year-over-year basis.
Apple’s Mac Sales to Rise Y/Y
AAPL has been gaining share in the PC market, thanks to strong demand for the latest Mac devices powered by the M4 family of chips — M4, M4 Pro and M4 Max. Apple’s strong Mac portfolio helped it gain market share in the third quarter of fiscal 2025. Per IDC, Apple had a market share of 9%, up 30 basis points (bps) on a year-over-year basis. Shipment grew 13.7% year over year to 6.8 million. Per Gartner, Apple had a market share of 8.9%, up 20 bps year over year.
In terms of shipments, Apple trails Lenovo’s growth of 17.3%, per IDC data. Dell Technologies’ shipment increased 2.6%, while HP saw shipment growth of 10.7%. According to Gartner’s list, Lenovo was placed at the #1 spot with shipment growth of 16.6%, trailed by Apple’s 10.7%, HP’s 10.6% and Dell Technologies’ 2.5% growth.
The consensus mark for Mac revenues is pegged at $8.44 billion, suggesting 9% growth on a year-over-year basis.
Apple shares have risen 5% year to date (YTD), underperforming the Zacks Computer & Technology sector’s return of 26%. While Apple shares have outperformed HP YTD, the shares have lagged Dell Technologies. HP shares dropped 15.2%, while Dell Technologies returned 37.7%.
Apple Stock’s Performance
The AAPL stock is not so cheap, as the Value Score of D suggests a stretched valuation at this moment.
In terms of the forward 12-month price/earnings, AAPL is trading at 33.22X, higher than the Zacks Computer & Technology sector’s 29.64X.
AI Focus to Aid AAPL’s Prospects
Apple has been seeing better iPhone sales in regions where Apple Intelligence is available. iPhone 17 sales are off to a strong start as compared with iPhone 16, driven by a better chip (A19), improved display (6.3-inch Super Retina XDR display with ProMotion), and an upgraded selfie camera. The launch of the new 11-inch and 13-inch iPad Pro, 14-inch MacBook Pro, and Apple Vision Pro, all powered by the new M5 chip, bodes well for Apple’s prospects.
Apple’s AI push is expected to bring consumer-focused AI-enabled PCs into the market, thereby aiding its Mac shipments in the long run.
However, stiff competition in the smartphone and PC market, along with regulatory headwinds, is a concern. A stretched valuation makes the stock risky for investors.
Currently, AAPL carries a Zacks Rank #3 (Hold), which implies that investors should wait for a favorable point to accumulate the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.
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The Zacks Analyst Blog Highlights Apple, Lenovo, Dell and HP

Apple AAPL is set to report fourth-quarter fiscal 2025 results on Oct. 30.
Apple expects fourth-quarter fiscal 2025 net sales to grow in the mid to high single digits on a year-over-year basis. The company expects the Services year-over-year growth rate to be similar to that of the June quarter (13.3%). Gross margin is expected to be 46-47% in the fourth quarter of fiscal 2025, including a tariff impact of $$1.1 billion. Operating expenses are expected to be between $15.6 billion and $15.8 billion.
The Zacks Consensus Estimate for fiscal fourth-quarter net sales is pegged at $101.19 billion, indicating year-over-year growth of 6.6%.
The consensus mark for earnings is pegged at $1.73 per share, down by a penny over the past 30 days. The estimate indicates a 5.5% increase from the year-ago quarter’s reported figure.
Consensus Estimate Trend
Image Source: Zacks Investment Research
AAPL’s earnings beat the Zacks Consensus Estimate in all the trailing four quarters, the earnings surprise being 6.2%, on average.
Apple Inc. Price and EPS Surprise
Let us see how things have shaped up prior to this announcement.
Apple’s iPhone Sales Likely to Rise Y/Y in Q4
Apple’s fortunes are heavily reliant on the iPhone, which is by far its biggest revenue contributor. The device accounted for 47.4% of net sales in the third quarter of fiscal 2025, wherein sales increased 13.5% year over year to $44.58 billion. The Zacks Consensus Estimate for fiscal fourth-quarter iPhone net sales is pegged at $49.75 billion, suggesting a 7.6% year-over-year growth.
iPhone sales have been suffering from stiff competition in China from Chinese vendors, including Huawei and Xiaomi. China is an important market for Apple as the iPhone maker’s manufacturing is primarily concentrated in the country. Per Counterpoint data, Apple shipments increased 1% year over year, driven by price discounts for the iPhone 16. However, Apple, with 15% market share, trailed Huawei, Vivo, OPPO and Xiaomi.
The Zacks Consensus Estimate for fiscal fourth-quarter China sales is pegged at $16.23 billion, suggesting 8% growth from the figure reported in the year-ago quarter.
AAPL’s Services to Grow in the Double Digits in Q4
An expanding paid subscriber base has been a key catalyst for the Services business, which has been riding on the increasing popularity of the App Store and an expanding installed base of devices. Apple has more than 1 billion paid subscribers across its Services portfolio, offering Apple TV+, Apple Arcade, Apple News+, Apple Card, Apple Fitness+ and Apple One bundle.
The consensus mark for Services is pegged at $26.96 billion, suggesting 12.3% growth on a year-over-year basis.
Apple’s Mac Sales to Rise Y/Y
AAPL has been gaining share in the PC market, thanks to strong demand for the latest Mac devices powered by the M4 family of chips — M4, M4 Pro and M4 Max. Apple’s strong Mac portfolio helped it gain market share in the third quarter of fiscal 2025. Per IDC, Apple had a market share of 9%, up 30 basis points (bps) on a year-over-year basis. Shipment grew 13.7% year over year to 6.8 million. Per Gartner, Apple had a market share of 8.9%, up 20 bps year over year.
In terms of shipments, Apple trails Lenovo’s LNVGY growth of 17.3%, per IDC data. Dell Technologies’ DELL shipment increased 2.6%, while HP HPQ saw shipment growth of 10.7%. According to Gartner’s list, Lenovo was placed at the #1 spot with shipment growth of 16.6%, trailed by Apple’s 10.7%, HP’s 10.6% and Dell Technologies’ 2.5% growth.
The consensus mark for Mac revenues is pegged at $8.44 billion, suggesting 9% growth on a year-over-year basis.
AAPL Shares Underperform Sector
Image Source: Zacks Investment Research
Apple shares have risen 5% year to date (YTD), underperforming the Zacks Computer & Technology sector’s return of 26%. While Apple shares have outperformed HP YTD, the shares have lagged Dell Technologies. HP shares dropped 15.2%, while Dell Technologies returned 37.7%.
Apple Stock’s Performance
The AAPL stock is not so cheap, as the Value Score of D suggests a stretched valuation at this moment.
In terms of the forward 12-month price/earnings, AAPL is trading at 33.22X, higher than the Zacks Computer & Technology sector’s 29.64X.
AAPL Stock is Overvalued
Image Source: Zacks Investment Research
AI Focus to Aid AAPL’s Prospects
Apple has been seeing better iPhone sales in regions where Apple Intelligence is available. iPhone 17 sales are off to a strong start as compared with iPhone 16, driven by a better chip (A19), improved display (6.3-inch Super Retina XDR display with ProMotion), and an upgraded selfie camera. The launch of the new 11-inch and 13-inch iPad Pro, 14-inch MacBook Pro, and Apple Vision Pro, all powered by the new M5 chip, bodes well for Apple’s prospects.
Apple’s AI push is expected to bring consumer-focused AI-enabled PCs into the market, thereby aiding its Mac shipments in the long run.
However, stiff competition in the smartphone and PC market, along with regulatory headwinds, is a concern. A stretched valuation makes the stock risky for investors.
Currently, AAPL carries a Zacks Rank #3 (Hold), which implies that investors should wait for a favorable point to accumulate the stock. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
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Apple Set to Report Q4 Earnings: Buy, Sell or Hold the AAPL Stock?

Microsoft MSFT is slated to report first-quarter fiscal 2026 results on Oct. 29.
The Zacks Consensus Estimate for revenues is pegged at $74.96 billion, indicating growth of 14.3% from the figure reported in the year-ago quarter.
The consensus mark for earnings has remained steady at $3.65 per share over the past 30 days, suggesting 10.61% year-over-year growth.
Image Source: Zacks Investment Research
MSFT Earnings Surprise History
In the last reported quarter, the company delivered an earnings surprise of 8.96%. The company’s earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, the average surprise being 7.02%.
Microsoft Corporation Price and EPS Surprise
Earnings Whispers for MSFT
Our proven model does not conclusively predict an earnings beat for Microsoft this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
MSFT has an Earnings ESP of -1.17% and a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Factors Shaping MSFT’s Upcoming Q1 Results
Microsoft's upcoming fiscal first-quarter 2026 results are likely to be supported by continued momentum in cloud and AI infrastructure investments. The tech giant positioned itself strategically during the July-September 2025 period through significant product launches and platform enhancements that strengthened its competitive moat in enterprise AI adoption.
Microsoft projected revenues between $32.2 billion and $32.5 billion for Productivity and Business Processes, representing growth of 14% to 15%, with model estimates indicating 14.2% year-over-year growth to $32.3 billion.
Microsoft 365 Commercial cloud revenues are expected to grow between 13% and 14% in constant currency (cc). The segment is expected to have benefited from relatively stable business trends compared to the prior quarter, with continued average revenue per user expansion driven by E5 suite adoption and Microsoft 365 Copilot deployment.
The quarter saw substantial Microsoft 365 Copilot feature enhancements, including the rollout of GPT-5's real-time router capability in August that enabled Copilot to intelligently select between high-throughput and deeper reasoning models based on task complexity. Voice interaction capabilities launched on the Microsoft 365 Copilot mobile app for iOS during August, enabling users to interact with Copilot through natural language speech. SharePoint agents became discoverable in the Teams app store in September, enhancing collaboration and making AI-enhanced support more accessible to users.
The reimagined Microsoft Marketplace launched during September, introducing a new AI apps and agents category that extended Microsoft 365 Copilot and Azure AI Foundry while expanding discoverability across a unified Microsoft storefront. These product enhancements are likely to have contributed to improved adoption metrics and supported continued ARPU growth through the quarter.
LinkedIn's performance is expected to have delivered high single-digit revenue growth despite ongoing headwinds in the hiring market. The professional networking platform is likely to have maintained steady momentum through its talent solutions and marketing solutions offerings.
The Intelligent Cloud segment is expected to remain capacity-constrained through the first half of fiscal 2026, even as Microsoft continues bringing additional data center capacity online. Management anticipated the segment would generate revenues between $30.1 billion and $30.4 billion, representing growth of 25% to 26%. Our model estimate for this segment is pegged at $30.2 billion, indicating growth of 25.4% from the figure reported in the year-ago quarter.
The company's aggressive infrastructure buildout positioned it well to capitalize on strong AI workload demand, though capacity constraints are likely to have continued to moderate what would otherwise have been even stronger growth rates.
Management projected Azure revenue growth of approximately 37% in cc. Azure received a significant boost from announcements made at Microsoft Build 2025 in early August, including the general availability of Azure AI Foundry Agent Service, multi-agent orchestration capabilities, and the introduction of agentic retrieval through Azure AI Search. These enhancements, including improvements to answer relevance by approximately 40% on complex questions in early testing, strengthened Azure's position as the leading enterprise AI platform. The company's $368 billion contracted backlog provided substantial visibility into future revenue streams and supported the massive capital expenditure program.
The on-premises server business is projected to have experienced revenue declines in the low to mid-single digits as customers continued their ongoing shift to cloud offerings.
Microsoft projected More Personal Computing revenues between $12.4 billion and $12.9 billion for the quarter, with model estimates indicating a 2.9% year-over-year decline to $12.7 billion.
According to the preliminary results from the International Data Corporation Worldwide Quarterly Personal Computing Device Tracker, third-quarter 2025 worldwide PC shipments reached 75.8 million units, up 9.4% year over year. The competitive landscape shows strong results, with Lenovo LNVGY, Hewlett Packard HPE and Dell Technologies DELL achieving 17.3%, 10.7% and 2.6% shipment growth, respectively.
Microsoft’s Windows OEM and Devices revenues are expected to have declined in the mid to high single digits, with management anticipating that elevated inventory levels from the prior quarter would normalize during the period.
The segment received a potential boost from the general availability of Windows 11 version 25H2 on Sept. 30, 2025, which represented a significant platform update. Throughout the quarter, Microsoft rolled out enhanced Windows capabilities, including AI-powered features in File Explorer, improved security controls, and new Copilot+ PC functionalities.
The Gaming division is expected to have experienced robust activity during the quarter under review. Major releases included Grounded 2 launching into Game Preview on July 29, Tony Hawk's Pro Skater 3+4 on July 11, and Gears of War: Reloaded on Aug. 26. The company showcased its gaming strategy at the Xbox Games Showcase in June, with numerous titles launching throughout the summer period. Xbox also expanded its cloud gaming capabilities in July, enabling Game Pass Ultimate members to stream more than 250 select games they own beyond the Game Pass catalog through the Xbox PC app. These initiatives are likely to have supported Microsoft's guidance for mid-single-digit Gaming revenue growth and high single-digit growth in Xbox content and services.
Search and news advertising ex-TAC revenue growth is projected in the low to mid-teens, normalizing from the prior quarter's elevated levels that benefited from third-party partnerships.
Strategic Positioning and Infrastructure Investments
Microsoft's capital expenditure guidance of more than $30 billion for the quarter under review reflects the company's continued commitment to scaling AI infrastructure to meet strong customer demand signals. The investment strategy emphasized short-lived assets like servers, GPUs, CPUs, network and storage, which management indicated were directly correlated to the company's contracted backlog and demand curve.
Microsoft Cloud’s gross margin percentage was expected to be approximately 67%, down year over year due to the ongoing impact of scaling AI infrastructure. This compression reflected the company's prioritization of capacity buildout to capture the substantial AI opportunity, even at the expense of near-term margin performance.
MSFT Price Performance & Stock Valuation
Shares of MSFT have gained 24.2% in the year-to-date period compared with the broader Zacks Computer & Technology sector’s growth of 25.9%. Shares of LNVGY, HPE and DELL have gained 15.7%, 10.1% and 37.7%, respectively.
Year-to-date Performance
Image Source: Zacks Investment Research
Now, let’s look at the value Microsoft offers investors at current levels. MSFT is trading at a premium with a forward 12-month P/S of 11.59X compared with the Zacks Computer - Software industry’s 8.61X, reflecting a stretched valuation.
MSFT’s P/S F12M Ratio Depicts Stretched Valuation
Image Source: Zacks Investment Research
Investment Thesis
Microsoft represents a compelling investment opportunity ahead of fiscal first-quarter 2026 results, despite premium valuation and intensifying competition. The company's unmatched AI infrastructure investments, projected 37% Azure growth, and $368 billion contracted backlog provide exceptional revenue visibility. Copilot's accelerating enterprise adoption, strategic OpenAI partnership, and comprehensive platform spanning cloud to productivity applications create durable competitive advantages. While trading at elevated multiples, Microsoft's double-digit revenue growth guidance, expanding total addressable market in AI, and demonstrated ability to monetize massive infrastructure spending justify the premium. Strong execution across Intelligent Cloud, sustained Microsoft 365 momentum, and robust Gaming performance support a Buy recommendation.
Conclusion
Microsoft's fiscal first-quarter 2026 results are poised to showcase robust cloud and AI momentum, supported by strong Azure demand, expanding Copilot adoption, and strategic platform enhancements. Despite premium valuation and competitive pressures, Microsoft's comprehensive ecosystem and execution capabilities make it an attractive investment ahead of earnings.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
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Microsoft Before Q1 Earnings: Should Investors Buy the Stock?

Super Micro Computer’s SMCI high-performance and energy-efficient servers are gaining traction among AI data centers, HPC and hyperscalers. This growth is reflected in SMCI’s server and storage system segmental revenues, which grew 10% year over year in the fourth quarter of fiscal 2025 to reach a $5.62 billion milestone and account for 97.6% of its top line.
SMCI has now added a 6U 20-Node MicroBlade server to its portfolio, which is a high-density server with AMD’s EPYC 4005 Series Processors integrated inside it. This high-density server can fit 20 mini servers in a single 6U unit, making its 48U rack hold as many as 160 servers. This compactness not only saves 70% space but it also cuts down on 95% cabling, and is 30% energy efficient compared to traditional servers.
The 6U 20-Node MicroBlade server is optimal for cloud services, web hosting, AI tasks, gaming and enterprise workloads. This system comes with built-in Ethernet switches for simpler networking, supports up to 16 CPU cores and 192GB DDR5 memory per server, and comes with strong security features, such as TPM 2.0 and AMD Infinity Guard.
Super Micro Computer is one of the first companies to bring new AI servers to market, including systems built on NVIDIA’s B200 and GB200 platforms. This early availability gives Super Micro Computer a big edge in a fast-moving AI market. SMCI’s other platforms, like direct liquid cooling, data center building blocks and allied support products, are helping it evolve from a server provider to a full-stack technology giant.
How Competitors Fare Against SMCI
Hewlett Packard Enterprise HPE and Dell Technologies DELL are two major providers of traditional and AI servers and cooling technologies. Dell offers liquid cooling architectures through its Apex and PowerEdge platforms, while HPE offers liquid-cooled HPC and AI servers through its HPE Cray and Apollo systems.
Hewlett Packard Enterprise offers a range of server services, including HPE ProLiant, HPE Synergy, HPE BladeSystem and HPE Moonshot servers. In the second quarter of fiscal 2025, Hewlett Packard Enterprise’s server segment sales grew 6% year over year due to strong demand for its AI servers.
Dell Technologies is a major supplier of servers with a broad customer base across enterprises and cloud providers. Its scale, established distribution and service offerings give it an edge in winning large contracts. However, Dell Technologies has not grown as quickly as SMCI in AI-specific systems; its ability to bundle hardware with services makes it a strong rival.
SMCI’s Price Performance, Valuation and Estimates
Shares of SMCI have gained 58.5% year to date compared with the Zacks Computer- Storage Devices industry’s growth of 50.6%.
Image Source: Zacks Investment Research
From a valuation standpoint, SMCI trades at a forward price-to-sales ratio of 0.84X, down from the industry’s average of 1.77X.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for SMCI’s fiscal 2026 earnings implies a year-over-year rise of 23%, and the same for fiscal 2027 indicates growth of 33%. The estimates for fiscal 2026 and 2027 have remained unchanged for the past 60 days.
Image Source: Zacks Investment Research
SMCI currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. Little-known AI firms tackling the world's biggest problems may be more lucrative in the coming months and years.
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SMCI Expands its Server Portfolio: Is it the New Growth Catalyst?

Key Points
Dell Technologies director sells options granted 10 years ago.
The stock options were granted when Ellen Kullman joined Dell's board of directors in September 2016.
Dell shares have more than doubled since early April lows, and are up by more than 620% in the last decade.
Dell Technologies (DELL) Director Sells 80,000 Shares for $12.3 Million
Ellen Jamison Kullman, Director of Dell Technologies (NYSE:DELL), exercised 79,806 fully vested options for Class C Common Stock and immediately sold the resulting shares in an open-market transaction on Oct. 15, 2025. SEC Form 4 filing
Transaction summary
Shares sold
79,806
Transaction value
~$12.3 million
Post-transaction shares
65,662
Post-transaction value (direct ownership)
~$10.1 million
Transaction value is based on the SEC Form 4 weighted average purchase price ($153.56). No non-GAAP designation is specified in the source material.
Key questions
How significant was this transaction relative to Ellen Jamison Kullman's previous activity with Dell Technologies?
This transaction follows three prior administrative filings between Sept. 28, 2023, and Oct. 15, 2025. The 79,806 shares exercised and sold on Oct. 15, 2025, represented a 54.9% reduction in her direct equity stake, decreasing her holdings from 145,468 to 65,662 shares.
What was the context of the derivative transaction, and how does it affect the interpretation?
This filing involved exercising 79,806 fully vested options for Class C Common Stock, with the resulting shares immediately sold in the open market on Oct. 15, 2025.
How does the transaction value compare to Ellen Jamison Kullman's remaining stake?
The sale generated proceeds of approximately $12.3 million, while her remaining direct holdings were valued at approximately $10.1 million as of the Oct. 15 market close. The sale thus slightly exceeded the value of her residual direct stake post-transaction.
How does the trade align with recent share price performance and capacity constraints?
The transaction took place as Dell Technologies shares closed at $153.70, reflecting a one-year total return of 24.4% from Oct. 15, 2024, to Oct. 15, 2025. Kullman retained 45.1% of her pre-transaction shares after the sale.
Company overview
Revenue (TTM)
$101.33 billion
Net income (TTM)
$4.79 billion
Dividend yield
1.77%
1-year price change
22.2%
* One-year performance calculated using October 15, 2025, as the reference date (calendar year basis).
Company snapshot
Dell offers a broad portfolio of IT infrastructure, including servers, storage, networking equipment, desktops, laptops, and related software and services.
The company generates revenue through hardware sales, software licensing, and a mix of support, deployment, and managed services across enterprise and consumer markets.
It serves global enterprise, public sector, and small-to-medium business customers seeking end-to-end IT solutions and digital transformation capabilities.
Dell Technologies is a leading global provider of computer hardware and IT infrastructure, operating at significant scale with over $100 billion in annual revenue (trailing twelve months). The company leverages its broad product suite and integrated solutions to address evolving enterprise and consumer technology needs. Dell's competitive edge is driven by its ability to deliver comprehensive, end-to-end solutions that support digital transformation for a diverse customer base.
Foolish take
Dell shares have more than doubled since early April lows, and are up by more than 620% over the last ten years. The recent surge comes as the company reported record quarterly revenue in its servers and networking business.
The growing deployment of data centers is accelerating demand for Dell's artificial intelligence (AI) solutions. Selling vested stock options makes sense in this environment. It likely doesn't reflect any less confidence in the business.
There looks to be a long runway of server business for Dell as the data center buildout continues. Dell's personal computer (PC) business may also benefit as AI makes more inroads in personal computers.
Ellen Kullman is a lead independent director for Dell. She retains a meaningful amount of Dell shares even after this transaction. Insiders may cash out stock options once they are vested for many reasons. Dell investors shouldn't consider this transaction a reflection of her view of Dell's future business.
Glossary
Form 4: A required SEC filing disclosing insider trades of company securities by officers, directors, or significant shareholders.
Options (stock options): Contracts giving the right to buy company shares at a set price within a specific period.
Fully vested options: Stock options that are eligible to be exercised because all vesting requirements have been met.
Derivative transaction: A trade involving financial contracts whose value is based on an underlying asset, such as stock options.
Open-market transaction: The purchase or sale of securities on a public exchange, rather than through private arrangements.
Direct equity stake: The actual ownership of company shares held directly by an individual, not through funds or intermediaries.
Weighted average purchase price: The average price paid per share, weighted by the number of shares bought at each price.
Class C common stock: A specific class of company shares, often with distinct voting rights or other characteristics.
Administrative filing: A regulatory disclosure made to comply with reporting requirements, not necessarily reflecting a market transaction.
Trailing twelve months (TTM): The 12-month period ending with the most recent quarterly report.
Total return: The investment's price change plus all dividends and distributions, assuming those payouts are reinvested.
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Howard Smith has positions in Dell Technologies. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Dell Technologies (DELL) Director Sells 80,000 Shares for $12.3 Million

Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Nuscale Power Corporation Class A (Symbol: SMR), where a total of 119,912 contracts have traded so far, representing approximately 12.0 million underlying shares. That amounts to about 47.6% of SMR's average daily trading volume over the past month of 25.2 million shares. Particularly high volume was seen for the $33.50 strike put option expiring October 31, 2025, with 15,454 contracts trading so far today, representing approximately 1.5 million underlying shares of SMR. Below is a chart showing SMR's trailing twelve month trading history, with the $33.50 strike highlighted in orange:
Dell Technologies Inc (Symbol: DELL) options are showing a volume of 40,799 contracts thus far today. That number of contracts represents approximately 4.1 million underlying shares, working out to a sizeable 47.4% of DELL's average daily trading volume over the past month, of 8.6 million shares. Especially high volume was seen for the $150 strike call option expiring December 19, 2025, with 6,076 contracts trading so far today, representing approximately 607,600 underlying shares of DELL. Below is a chart showing DELL's trailing twelve month trading history, with the $150 strike highlighted in orange:
And LendingClub Corp (Symbol: LC) saw options trading volume of 7,531 contracts, representing approximately 753,100 underlying shares or approximately 46.8% of LC's average daily trading volume over the past month, of 1.6 million shares. Particularly high volume was seen for the $21 strike call option expiring November 21, 2025, with 1,319 contracts trading so far today, representing approximately 131,900 underlying shares of LC. Below is a chart showing LC's trailing twelve month trading history, with the $21 strike highlighted in orange:
For the various different available expirations for SMR options, DELL options, or LC options, visit StockOptionsChannel.com.
Also see:
Historical Earnings
Institutional Holders of HAAC
Top Ten Hedge Funds Holding BAGR
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Notable Thursday Option Activity: SMR, DELL, LC

Motley Fool Co-Founder Tom Gardner: The Quarterly Call

Super Micro Computer SMCI is currently trading at a discounted valuation, with its forward 12-month price-to-earnings (P/E) ratio at 23.39X, which is lower than the Zacks Computer and Technology sector’s average of 29.07X. This is also reflected in the Zacks Value Score of the stock, as it carries a Value Score of B.
SMCI Forward 12 Months (P/E) Valuation Chart
Image Source: Zacks Investment Research
Additionally, despite being favorably valued, Super Micro Computer stock has climbed 80.5% year to date, and has outperformed the Zacks Computer and Technology sector’s return of 23% in the same time frame.
Image Source: Zacks Investment Research
Given SMCI’s discounted valuation and rising stock price trend, investors might be wondering: Is this an opportunity to buy, or are there deeper challenges that could keep the stock in check? Let’s break down the fundamentals, growth prospects, market challenges and valuation to determine if SMCI offers an investment opportunity right now.
SMCI Capitalizes on Momentum in Server and Cooling Platforms
Super Micro Computer‘s next-generation server platforms, storage offerings, and direct liquid cooling racks are experiencing massive traction as enterprises and hyperscalers scale out, increasing AI deployments and improving time-to-market.
SMCI is capitalizing on this trend by being the first to ship next-generation AI systems, such as the NVIDIA B300 and GB300, introducing Data Center Building Block Solutions (DCBBS), DLC-2 and more than 30 new solutions optimized for the latest NVIDIA and AMD architectures.
SMCI also introduced new product families like SuperBlade and MicroBlade high-density server systems focused on AI inference, visual computing, EDA, data analytics, HPC, cloud, and enterprise workloads. It has launched edge systems on display with an integrated NVIDIA Jetson Orin NX AI computer. They are SYS-112D-42C-FN8P and ARS-E103-JONX.
The company has become a major player in the AI server market, delivering systems built on the latest NVIDIA and AMD platforms. SMCI’s Data Center Building Block Solutions is experiencing traction among customers operating in the artificial intelligence, hyperscale and high-performance computing space.
SMCI’s next-generation air-cooled and liquid-cooled GPU and AI platforms are experiencing massive growth in traction, leading to more than 70% contribution to its top line in the fourth quarter of fiscal 2025. Both the enterprise and cloud service providers are adopting SMCI’s cooling technology.
SMCI Faces Competitive Pressure and Margin Compression
Rising competition from the leading companies in the storage and server space, such as Pure Storage PSTG, Dell Technologies DELL and Hewlett Packard Enterprise HPE, is a concern for investors.
In the storage space, Pure Storage offers a range of modern storage solutions through its offerings like FlashArray, FlashBlade and Pure Cloud Block Store to serve the purpose of providing All-Flash performance, cloud integration, AI and simplified management.
In the AI-optimized server space, Dell Technologies is a strong competitor. Hewlett Packard Enterprise also offers a range of server services, including HPE ProLiant, HPE Synergy, HPE BladeSystem and HPE Moonshot servers.
Growing price competition and price adjustments are a concern for the company as competition rises. This has resulted in SMCI’s margins to compress as reflected in bottom-line projections. The Zacks Consensus Estimate for SMCI’s first and second quarters of fiscal 2026 shows a decline of 37% and 5%, respectively.
Image Source: Zacks Investment Research
Conclusion: Hold SMCI Stock for Now
Super Micro Computer is facing several near-term challenges while pursuing long-term growth across server, storage and cooling products. Although the company has returned massively in the year-to-date period and is still favorably valued, considering its margin compression, we suggest investors retain this Zacks Rank #3 (Hold) stock at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Is SMCI Stock a Buy, Sell or Hold at a P/E Multiple of 23.39X?

Below is Validea's guru fundamental report for DELL TECHNOLOGIES INC (DELL). Of the 22 guru strategies we follow, DELL rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
DELL TECHNOLOGIES INC (DELL) is a large-cap growth stock in the Computer Hardware industry. The rating using this strategy is 72% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
Detailed Analysis of DELL TECHNOLOGIES INC
More Information on Peter Lynch
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
Additional Research Links
High Insider Ownership Stocks
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	25.39 28.98
Price/Sales	1.10 2.58
P/B	0.00 2.76
P/FCF	29.96 24.31

Indicator	TTM Median
ROE	-152.78 15.33
ROA	4.84 6.66
ROI	24.10 9.73
Net Worth	97.18 0.98
Quick Ratio	0.61 1.53
Current Ratio	0.72 1.84

Indicator	TTM Median
Net Profit Margin	4.32 9.71
Operating Margin	5.70 11.07
Gross Margin	22.41 50.00
Return on tangible equity	-14.25 27.59

Indicator	TTM Median
EPS	1.92 0.24
EPS Forecast	1.84 0.19
Revenue	25.03B 73.00M
Gross Profit	5.31B —
EBITDA	2.13B —

Dell Technologies Inc.

TTM metrics for the latest quarter under IFRS and their historical dynamics

Valuation

Debts

Efficiency

Other ratios

Revenue