Dell is a US consumer tech company. It is rumoured Dell will increasing their dividend 30% in 2022.

Overview

Dell Technologies is an American based technology company supplying personal computers, smartphones, computer software and information security services to customers nationwide and International. Founded in 2016 as the result of a merger between dell and emc corporation and held their IPO on the 29th of January 2018. The company currently operates through 2 main revenue streams, infrastructure solutions group (ISG) and client solutions group (CSG), with the former focusing on advanced data storage systems while the latter focuses on commercial and consumer goods and services.

Financials

Total market cap for Dell is $38.7bn with Revenue in Q1 at $22.2bn and a loss after tax of $764M. This is a huge fall comparable to Q4 of 2021 with revenue at $28.3bn and a profit after tax of $3.8bn, but only because of a of a non-operating income of $3.4bn. Adjusted to exclude this, the real number would be about $440m. looking at the balance sheet of Dell cash on hand still sat strong at $9.7bn, but is the lowest since Q1 2020 with total assets sat $92.73bn. Total liabilities sat at $94.3bn meaning that Dell actually has negative assets of $1.57bn, for a tech company, this is quite bad.

Technicals

From a technical aspect Dell looks quite strong. RSI is currently reading 66.7 suggesting very strong conditions. Support sits below at $46.34 followed by $42.58. A break below here could take the stock down towards the lows of $38.19. Towards the upside initial targets are $54.08 followed by $56.80 and then the yearly highs if $60.00. 

Summary

While the financial outlook of Dell looks uncertain it’s a strong player in consumer tech and is well established. The technical outlook also looks good too and the current dividend pays 2.58% a year, with a 30% increase on the horizon, bring the total dividend towards 3.35% yearly.