Dell Technologies Inc., a leading technology firm, has found itself at the center of the growing debate between the US and China over advanced AI chips. As tensions escalate, Beijing has warned that it will take necessary actions to protect Chinese companies if the US imposes stricter controls on chip exports.
According to reports, the US is considering adding 200 Chinese firms to a trade blacklist, which China strongly opposes. The Chinese government has accused the US of abusing control measures targeting Chinese companies and harming global semiconductor industry cooperation.
Dell Technologies Inc., which designs and develops AI solutions, has garnered the attention of hedge funds. As a result, the company’s stock has received significant interest from institutional investors. Despite this, Morgan Stanley recently maintained an Overweight rating on the stock with a price target of $154, citing that Dell’s performance in fiscal Q3 was impressive but its guidance for Q4 was conservative.
The company’s strong track record, which has returned 275% since May 2014, beating its benchmark by 150 percentage points, suggests that investors are optimistic about its future prospects. However, the US-China AI chip war may pose a challenge to Dell’s operations and stock performance in the long run.
Source: https://finance.yahoo.com/news/dell-technologies-inc-dell-maintains-001037240.html