Transferring Coverage of Dell, Raising Our Fair Value Estimate While Maintaining Moat Rating

Dell is a technology titan with a strong share in the personal computer, server, and storage array markets, which we view as mature, and commoditylike. The PC market is fairly consolidated, with the top several players controlling the majority of the market, while servers and storage are less consolidated—but Dell is one of the highest market share players in both. Just over half of Dell’s revenue comes from its PC business and just under half comes from the servers and storage segment. Dell primarily sells to enterprises.