The computer industry produces desktop computers, laptop computers, personal computers (PCs), computer peripherals, and storage devices. The industry has faced several logistical disruptions due to the COVID-19 pandemic. However, the culture of work from home and the ongoing global digitization has fueled the huge demand for PC products. Delays by many organizations in their office opening plans due to the proliferation of the variable COVOD-19 omicron should help the industry see steady demand in the coming months.
According to the International Data Corporation report, global shipments of traditional computers are on the right track Reaches 344.70 million units In 2021, it’s up 13.5% year over year. In addition, US consumer confidence improved in December, indicating that The overall economy will continue to expand in 2022. This bodes well for the PC industry.
Given this background, we think it might be wise to add stock of quality Dell Technologies Inc. (Del), Western Digital Corporation (WDC), and Seiko Epson Corporation (Seki) for one’s wallet.
Dell Technologies Inc. (Del)
DELL designs, develops, manufactures, markets, sells and supports IT solutions, products and services worldwide. the Round Rock, Tex. The company’s segments include Infrastructure Solutions Group (ISG) and Customer Solutions Group (CSG).
On November 23, Chuck Witten, the company’s chief operating officer, said, “We are uniquely positioned in the age of data, with enduring advantages and market-leading positions. Our strategy focuses on growing our core business and into neighboring multi-billion dollar markets, including That’s multi-cloud, edge, communications, and services as a service.”
DELL’s total net revenue increased 20.9% year-over-year to $28.39 billion in the third fiscal quarter ended October 29, 2021. Company gross profit margin It rose 11% year on year to $8.06 billion, while net income came in at $3.89 billion, up 341.3% year over year. Also, non-GAAP EPS was $2.37, up 16.7% year over year.
Analysts expect DELL revenue to reach $105.20 billion in fiscal 2022, which would be an 11.5% year-over-year increase. The company’s EPS is expected to increase 3% year-over-year to $8.24 in fiscal 2022. Additionally, it has exceeded our consolidated EPS estimates in each of the subsequent four quarters. The share price rose 1.4% over the past month to close yesterday’s trading session at $56.95.
Del POWR . ratings This reflects a promising outlook. The stock has an overall B rating, which equates to a buy in our POWR rating system. POWR Ratings rates stocks by 118 distinguishing factors, each with its own weighting.
Also, the stock has a grade A for value. Ranked #21 out of 52 stocks in Technology – Hardware industry. click here See additional POWR ratings for DELL’s growth, momentum, stability, sentiment, and quality.
Western Digital Corporation (WDC)
WDC Corporation of San Jose, California develops, manufactures and sells data storage devices and solutions in the United States, China, Hong Kong, Europe, the Middle East, Africa and internationally. The company’s brand portfolio includes the G-Technology, SanDisk, and WD brands.
On October 28, 2021, WDC CEO David Goeckeler said: “Strong demand across diverse end markets, particularly for our cloud products, combined with Western Digital’s strong innovation drive, broad avenues to market and rigorous execution, has enabled us to deliver strong results in Our scope of work. Scope of guidance, even in the face of significant COVID impacts and supply chain disruptions.”
WD’s net revenue was $5.05 billion in the first fiscal quarter ended October 1, 2021, an increase of 28.8% year over year. The company’s net income was $610 million, compared to a $60 million loss in the prior year quarter. Also, EPS was $1.93, compared to a loss of $0.20 in the same period last year.
Analysts expect WDC revenue to reach $17.20 billion in fiscal 2022, which is up 17.9% year over year. Additionally, the company’s EPS is expected to increase 95.9% year-over-year in the current year to $7.68. Over the past month, the stock price rose 8.8% to close yesterday’s trading session at $62.84.
Not surprisingly, WDC has an overall B rating, which equates to a buy in our rating system. Additionally, it has an A grade for growth and a B grade for value.
WDC is ranked No. 19 in Technology – Hardware industry. click here See additional POWR ratings for WDC (Momentum, Stability, Feel, Quality).
Seiko Epson Corporation (Seki)
Headquartered in Suwa, Japan, SEKEY develops, manufactures, sells and provides products and services in printing solutions, visual communications, wearable products, industrial and other businesses. It operates through three divisions: Print Solutions, Visual Communications, and Wearable Industrial Products.
SEKEY’s revenue increased 25.4% year-on-year to 550.60 billion yen ($4.79 billion) for the six months ended September 30, 2021. The company’s trading profit increased 239.2% year-on-year to 49.73 billion yen ($432.69 million). Its profit for the period was 36.51 billion yen ($317.65 million), up 754.5% year on year. Over the past month, the stock price rose 9.9% to close yesterday’s trading session at $8.97.
SEKEY has an overall A grade, which equates to a solid buy in our POWR rating system. Also, it has an A grade for value, stability, and quality. It is ranked No. 3 in Technology – Hardware industry. click here To see assessments of SEKEY’s growth, momentum and sentiment.
DELL shares were trading at $57.23 a share Wednesday afternoon, up $0.28 (+0.49%). Year-to-date, DELL gained 56.17%, versus a 29.25% rise in the benchmark S&P 500 over the same period.
About the Author: Riddhima Chakraborty
Ridima is a financial journalist with a passion for analyzing financial instruments. With a master’s degree in economics, she helps investors make informed investment decisions through her insightful commentary. more…
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