J.P. Morgan Maintains Underweight on Dell (DELL)

J.P. Morgan is out with its report today on Dell DELL, maintaining Underweight as J.P. Morgan is set to report FQ4 11 results tomorrow. In a note to clients, J.P. Morgan writes, "Underweight-rated Dell is set to report F4Q11 (Jan.) results on Tuesday, February 15. We expect the stock to trade sideways or even decline after the print. Our view is that Dell could miss our revenue and EPS estimates, owing to slowing PC growth and market share losses in storage and servers. We think investors increasingly are focused on the revenue growth profile and not just gross margins. Investors expect a gradual reversion back to 17-18% gross margins, but mix shifts could hasten the reversion." J.P. Morgan has a $16 PT on DELL. At the time of posting, shares of DELL were trading at $13.99, up 0.15% from Friday's close.