Citigroup initiated coverage on Dell DELL with a Sell rating and a $8.50 price target.
Citigroup noted, "Key [reasons] For our Sell Rating: 1) We believe 2013 & 2014 consensus EPS estimates are too high and we are modeling declines in EPS (consensus expects 2014 EPS to grow) and our estimates are 15% below consensus. 2) Dell's future hardware (PC hardware is total 54% of Dell's total company sales) growth is highly tied to emerging market PC growth which is below corporate average profitability and likely to see more pricing by competitors. 3) BYOD to the enterprise for PCs (following handsets) to threaten Dell who has 63% of its PC sales to tied enterprises."
Dell closed at $9.66 on Monday.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in