'Dell (DELL) Is Our Preferred Beneficiary'; PT Raised to $280 at Bernstein SocGen

Bernstein SocGen Group analyst Mark Newman raised the price target on Dell (NYSE: DELL) to $280.00 (from $220.00) while maintaining an Outperform rating.

The analyst commented: "We believe that Agentic AI will be significantly more CPU intensive driving upside to traditional server TAM, which in turn should benefit the server OEMs. In addition, challenges and pushouts from SMCI could portend the beginning of share losses from SMCI from its most recent reputational challenges.

Dell is our more preferred beneficiary, given its scale, financing capacity, and robust support/services across the AI infrastructure. We consider Dell to be the real AI winner. Being the scale leader with the broadest financing capacity and deepest customer relationships, Dell is best positioned to absorb displaced SMCI demand across cloud, enterprise, and sovereign, we take up estimates and raise our multiple from 14x to 17x FY28 EPS and our target price to $280. Reiterate Outperform."

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