Dell Stock Eyes Q4 Test After Analyst Lowers Price Target

dell stock faces fresh scrutiny as the company approaches fiscal Q4 results on February 26 (ET), after an analyst trimmed a price target and market data show elevated revenue expectations heading into the report.

Dell Stock heading into Q4

The company will report fiscal Q4 results on February 26 (ET). Market expectations for the quarter call for year‑over‑year revenue growth of 32. 5%, a notable jump from the 7. 2% increase recorded in the same quarter last year. That target sits against a recent quarter where the firm posted revenues of $27. 01 billion, up 10. 8% year on year.

Analysts covering the company have generally reconfirmed estimates in the past 30 days, which implies a stable near‑term consensus. At the same time, the company has missed revenue estimates multiple times over the last two years, a track record that investors will weigh as results arrive.

Analyst price target cut to $135

An analyst at a major bank lowered the firm’s price target to $135 from $150 while maintaining a Buy rating ahead of the fiscal Q4 report. The same analyst trimmed a fiscal year estimate by $0. 86 to $10. 00 per share, flagging impending memory headwinds that could overshadow what otherwise should be a strong quarter.

The analyst also noted that, despite elevated memory costs described as unprecedented, the company’s supply‑chain management and structural operating expense reductions should help it navigate the pressure better than peers. If memory costs remain elevated, those dynamics may weigh on near‑term profitability even if top‑line growth meets expectations.

Hardware peers show mixed momentum

Recent quarterly results from hardware peers offer a varied picture. One peer delivered year‑over‑year revenue growth of 123% and outpaced consensus by a wide margin; that stock traded markedly higher after results. Another peer posted revenues up 11. 7%, broadly in line with expectations, and also saw a double‑digit post‑report move. Overall, the hardware and infrastructure group has underperformed with average share prices down 8. 3% over the last month, while dell stock has been up 1. 7% in the same period.

Those divergent peer outcomes suggest demand and margin dynamics are uneven across the segment, leaving room for sector leadership shifts depending on the upcoming print and commentary.

• Upcoming event: fiscal Q4 results on February 26 (ET).
• Street view: market expects 32. 5% revenue growth this quarter versus 7. 2% a year ago.
• Analyst action: price target lowered to $135 from $150; FY27 EPS estimate cut by $0. 86 to $10. 00.

Looking ahead, the report on February 26 (ET) will be the immediate catalyst. If revenue comes in near the elevated 32. 5% expectation, consensus stability and operational improvements could limit downside pressure. Conversely, any confirmation that memory costs are weighing on margins could reinforce the lower estimate profile highlighted by the bank analyst. Investors and traders will be watching both the top‑line print and management’s commentary on memory pricing and supply‑chain trends for direction after the release.