Lenovo Group and Dell Technologies are competing for growth in the AI-driven microcomputer market. Lenovo aims for $100 billion in revenues within two years, driven by expansion into high-margin sectors like AI and enterprise services. Meanwhile, Dell has raised its fiscal 2027 revenue guidance to $165-$169 billion, with expected AI server revenues reaching approximately $60 billion.
Lenovo’s forecasts indicate a 13% and an 11.3% year-over-year revenue increase for fiscal years 2027 and 2028, respectively, while its EPS estimates predict increases of 20.5% and 19.2%. In contrast, Dell projects a staggering 57.3% year-over-year revenue increase for fiscal 2027, with EPS estimates reflecting gains of 82.5% and 21.1% for 2026 and 2027, respectively. Both companies carry a Zacks Rank of #1 (Strong Buy).
Over the past three months, Lenovo shares have surged 98.4%, while Dell shares have increased 86.6%. Lenovo is currently trading at a forward price-to-sales multiple of 0.35, while Dell’s price-to-earnings multiple is at 1.43, indicating evolving investor sentiment towards both firms in the AI space.
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