As demand for artificial intelligence rises, Citi raises price targets for Dell and HPE
The current demand for AI computing infrastructure continues to be strong, and Citi believes that these two AI hardware suppliers have huge room for growth. Analyst Asia Merchant maintained in a research report on Friday , HPE has a buy rating, and raised the target prices of two stocks at the same time: Dell: Target price raised from $475 to $515, still 17% higher than Thursday's closing price Hewlett Packard Enterprise (HPE): Target price raised from $70 to $74, with room for 55% upside from Thursday’s closing price The background of this adjustment is Chaowei ( ) holds analyst communication day, The financial report significantly exceeded market expectations, and the market generally confirmed that artificial intelligence, new servers, and data center construction have driven companies to increase investment in technology infrastructure. Analysts wrote: "Dell's rising logic comes from the expansion of the overall CPU reachable market size, strong server demand, and the continued strength of the AI infrastructure implementation business; the upward revision of HPE's profit forecast is due to the expansion of the server market driven by CPU and the strong growth momentum of the network business." Two stocks have skyrocketed during the year: HPE's stock price has risen by 98%, and Dell's stock price has risen by as much as 245%.