Sep. 2 at 1:34 PM
$SMCI vs
$DELL — the expansion story isn’t even close. 🚀
Dell is the bigger, safer company TODAY.
But SMCI has FAR more upside if execution stays on track…
🔥 SMCI latest quarter:
• Revenue:
$11.1B
• YoY growth: ~93%
• Net income:
$1.18B
•
$60B+ in NEW orders during Q4
• FY27 revenue guidance:
$65–72B
• Forward P/E: roughly 8–9x
🔥 DELL:
• Revenue: ~
$47B
• YoY growth: ~58%
• AI backlog: ~
$95B
• Forward P/E: roughly 20–24x
Here’s what jumps off the page:
SMCI is a fraction of Dell’s size, yet booked roughly the SAME magnitude of new AI orders.
That means the demand relative to SMCI’s current revenue base is MASSIVE.
And while Dell is already getting rewarded with a premium multiple, SMCI is still priced like Wall Street expects something to go wrong.
That creates TWO potential catalysts:
📈 Earnings/revenue expansion
📈 Multiple expansion
If SMCI executes anywhere near its
$65–72B FY27 target and keeps margins healthy, an 8–9x forward multiple looks ridiculously cheap compared with the growth profile.
DELL may be the safer AI infrastructure play.
SMCI may be the one with the MUCH bigger rerating opportunity.
Bulls don’t need perfection.
They need execution.
And if that execution shows up… this valuation gap can close FAST. 🔥🚀
$AMD $CSCO $NVDA #AI #AIInfrastructure
