Dell Technologies vs Cadence
On this page, Dell Technologies Inc and Cadence Design Systems Inc are compared to illuminate differences in business models, financial performance, and market context. The aim is to provide neutral, accessible explanations of strategy, revenue drivers, and industry positioning for readers seeking to understand these companies. Educational content, not financial advice.
On this page, Dell Technologies Inc and Cadence Design Systems Inc are compared to illuminate differences in business models, financial performance, and market context. The aim is to provide neutral, ...
Why It's Moving
Dell Gears Up for Transformative 2026 with AI Investments and Major Overhaul Amid January Pullback
- Shares dropped 9% in January, erasing $7.8B in market value from rising DRAM and NAND costs, but a massive $18.4B AI server backlog and $25B FY26 shipment guidance underscore enduring demand.
- COO Jeff Clarke announced the 'biggest transformation in company history' starting May, standardizing processes to break silos, unify data, and accelerate AI workload deployment.
- CEO Michael Dell vows heavy investments in storage, AI Factory expansions, and next-gen AI PCs, while CES unveiled consumer-focused laptops de-emphasizing AI hype in favor of practical upgrades.
Cadence Design Systems Powers Ahead, Outpacing Market Amid AI Chip Design Buzz.
- Recent trading showed a strong +2.23% gain to $313.84, signaling investor confidence despite modest weekly moves of 0.3%.
- Analysts project Q4 EPS of $1.91 and revenue of $1.42B, up 1.06% and 5.02% year-over-year, highlighting growth in AI-driven design software.
- Institutional shifts continue, with some funds trimming stakes while others boost holdings, underscoring Cadence's key position in the semiconductor ecosystem.
Dell Gears Up for Transformative 2026 with AI Investments and Major Overhaul Amid January Pullback
- Shares dropped 9% in January, erasing $7.8B in market value from rising DRAM and NAND costs, but a massive $18.4B AI server backlog and $25B FY26 shipment guidance underscore enduring demand.
- COO Jeff Clarke announced the 'biggest transformation in company history' starting May, standardizing processes to break silos, unify data, and accelerate AI workload deployment.
- CEO Michael Dell vows heavy investments in storage, AI Factory expansions, and next-gen AI PCs, while CES unveiled consumer-focused laptops de-emphasizing AI hype in favor of practical upgrades.
Cadence Design Systems Powers Ahead, Outpacing Market Amid AI Chip Design Buzz.
- Recent trading showed a strong +2.23% gain to $313.84, signaling investor confidence despite modest weekly moves of 0.3%.
- Analysts project Q4 EPS of $1.91 and revenue of $1.42B, up 1.06% and 5.02% year-over-year, highlighting growth in AI-driven design software.
- Institutional shifts continue, with some funds trimming stakes while others boost holdings, underscoring Cadence's key position in the semiconductor ecosystem.
Investment Analysis
Pros
- Dell Technologies shows an 11% year-over-year revenue growth anticipated in fiscal 2026 driven by increased demand for AI-optimized servers and expansion in its partner network.
- The company’s stock trades at a significant discount relative to its sector with a forward 12-month price-to-sales ratio of 0.99X versus 6.92X for the technology sector, highlighting valuation appeal.
- Dell has a diverse and innovative product portfolio with a growing footprint in AI infrastructure, which supports its long-term growth potential.
Considerations
- Dell Technologies exhibits a significantly negative return on equity (ROE) of -200.65%, indicating profitability challenges and inefficiency in using shareholders’ equity to generate earnings.
- The stock demonstrates relatively high price volatility at 5.54% over the last 30 days, indicating potential risk and sensitivity to market fluctuations.
- Despite positive growth expectations, the stock sentiment remains neutral with a Fear & Greed Index at 39 showing market caution around Dell’s near-term prospects.
Cadence
CDNS
Pros
- Cadence Design Systems holds a strong market capitalization around $88 billion, reflecting its solid presence in the electronic design automation industry.
- The company has maintained a positive return on equity of approximately 21.59%, showing effective use of equity capital and profitability.
- Cadence benefits from growing demand for advanced electronic design tools, especially with trends towards AI and semiconductor complexity that underpin its market growth.
Considerations
- Cadence faces intense competition in a specialized technology sector that could pressure margins and limit market share expansion.
- Its stock price exhibits sensitivity to broader semiconductor industry cycles, which introduces cyclicality risk tied to global supply chain and demand fluctuations.
- The high valuation multiples relative to broader tech markets could pose downside risk if growth expectations are not met or if market sentiment shifts.
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Dell Technologies (DELL) Next Earnings Date
Dell Technologies' next earnings date is estimated for February 26, 2026, following the company's historical late-February reporting pattern for fiscal Q4. This release will cover the fiscal quarter ending in January 2026. The date remains unconfirmed by the company but aligns with analyst consensus from recent schedules.
Cadence (CDNS) Next Earnings Date
Cadence Design Systems is scheduled to report its next earnings on February 17, 2026, covering the fourth quarter and full fiscal year 2025. The company will conduct a conference call following the announcement to discuss financial results and forward guidance. Analysts are currently projecting earnings per share of approximately $1.90 for this reporting period. This earnings release represents the company's first major report following its strong Q3 2025 performance in October.
Dell Technologies (DELL) Next Earnings Date
Dell Technologies' next earnings date is estimated for February 26, 2026, following the company's historical late-February reporting pattern for fiscal Q4. This release will cover the fiscal quarter ending in January 2026. The date remains unconfirmed by the company but aligns with analyst consensus from recent schedules.
Cadence (CDNS) Next Earnings Date
Cadence Design Systems is scheduled to report its next earnings on February 17, 2026, covering the fourth quarter and full fiscal year 2025. The company will conduct a conference call following the announcement to discuss financial results and forward guidance. Analysts are currently projecting earnings per share of approximately $1.90 for this reporting period. This earnings release represents the company's first major report following its strong Q3 2025 performance in October.
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Explore BasketWhich Baskets Do They Appear In?
China's AI Chip Access
This carefully selected group of stocks represents companies poised to benefit from China's renewed access to advanced AI chips. Our professional analysts have identified key players across the semiconductor supply chain that could see significant growth as this massive market reopens.
Published: July 15, 2025
Explore BasketRace to Four Trillion
Invest in the companies building the foundation of the AI revolution. These carefully selected stocks represent crucial suppliers and enablers benefiting from Nvidia and Microsoft's historic race to $4 trillion valuations and their unprecedented spending on AI infrastructure.
Published: June 30, 2025
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