Legacy technology companies like Oracle and Dell Technologies have seen impressive stock market gains recently, thanks to the proliferation of artificial intelligence (AI). Oracle’s stock has increased by 34% and Dell Technologies’ by almost 90% in 2024. Oracle has capitalized on the demand for cloud AI services, leading to a significant improvement in its revenue portfolio. The company’s forecasted double-digit revenue growth and huge order book make it a promising AI stock for the future.
On the other hand, Dell Technologies faced challenges in fiscal year 2024 but has seen a turnaround in fiscal year 2025. The growing adoption of AI-enabled PCs and servers presents a significant growth opportunity for Dell, as highlighted by their recent earnings call. With AI-optimized server shipments increasing and a growing order book, Dell is well-positioned to benefit from the AI boom. Despite its impressive stock performance, Dell remains undervalued compared to Oracle.
Investors looking to add AI stocks to their portfolio need to consider their risk profiles and valuation preferences when choosing between Oracle and Dell. Oracle’s focus on the cloud AI space and Dell’s diversified AI investment in PCs and servers offer different growth prospects. Both companies have strong potential to benefit from the AI boom, and investors can make informed decisions based on their individual situations.
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https://www.nasdaq.com/articles/better-artificial-intelligence-ai-stock-oracle-vs-dell-technologies
