12 Most Promising AI Stocks According to Wall Street Analysts

5) Dell Technologies Inc. (NYSE:DELL)

Average Upside Potential: ~38.9%

Number of Hedge Fund Holders: 60

Dell Technologies Inc. (NYSE:DELL) is one of the leading players in the AI industry as it provides essential infrastructure, tools, and solutions that allow AI adoption throughout industries. The company’s stock is well-placed to benefit from the buoyed AI demand. Dell Technologies Inc. (NYSE:DELL)’s management highlighted that interest in its portfolio remains at an all-time high, fueling record AI server orders demand of $3.6 billion in Q3 2024 and a pipeline that grew over 50%, with growth coming from all types of customers.

The company’s strategic positioning emphasizes its end-to-end AI solutions, which range from large-scale data centers to AI PCs. Dell Technologies Inc. (NYSE:DELL)’s competitive advantage in the AI space revolves around its strong engineering capabilities and ability to provide end-to-end solutions. This consists of integration, design, deployment, optimization, and support services, making it stand apart from other OEMs and ODMs.

Mizuho Securities increased the price target on the shares of Dell Technologies Inc. (NYSE:DELL) to $155 from $135, maintaining an “Outperform” rating. The firm believes that Dell Technologies Inc. (NYSE:DELL) is well-placed to capture more market share in the AI  server segment as capital expenditures increase. Mizuho’s price target and rating are backed by the assessment of the company’s strategic positioning in a dynamic technological landscape, where AI and server capabilities are important for various industries.