Keep an eye on oversold shares of Dell (DELL), we said on June 4.
After gapping from $180 to $132 on earnings, analysts were saying to buy the dip on Dell’s AI story. That included Bank of America and Morgan Stanley, which said:
“We’re buyers of the dip as the near-term [Infrastructure Solutions Group] profitability disappointment is more than offset by building AI ecosystem momentum. Said differently, tonight’s near-term speed bump does little to derail our thesis that DELL will remain an AI infrastructure beneficiary and generate $10-12 of EPS next year, and we see multiple upcoming soft and hard catalysts that can help drive further outperformance.”
At the time, Dell traded at around $132. This morning, it’s set to open at $155.41.