Trailing 12-Month GAAP Operating Margin: 6.7%
Why Are We Wary of DELL?
Sales were flat over the last two years, indicating it’s failed to expand this cycle
Customers were hesitant to make long-term commitments to its offerings as its 5% average ARR growth over the past two years was sluggish
Free cash flow margin shrank by 9.9 percentage points over the last five years, suggesting the company is consuming more capital to stay competitive