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Dell Technologies (WBO:DELL) Earnings Yield (Joel Greenblatt) %

: 6.97% (As of Jan. 2024)
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Dell Technologies's Enterprise Value for the quarter that ended in Jan. 2024 was €71,095 Mil. Dell Technologies's EBIT for the trailing twelve months (TTM) ended in Jan. 2024 was €4,970 Mil. Dell Technologies's Earnings Yield (Joel Greenblatt) for the quarter that ended in Jan. 2024 was 6.97%.

The historical rank and industry rank for Dell Technologies's Earnings Yield (Joel Greenblatt) % or its related term are showing as below:

WBO:DELL' s Earnings Yield (Joel Greenblatt) % Range Over the Past 10 Years
Min: -0.52   Med: 5.99   Max: 15.76
Current: 5.35

During the past 10 years, the highest Earnings Yield (Joel Greenblatt) of Dell Technologies was 15.76%. The lowest was -0.52%. And the median was 5.99%.

WBO:DELL's Earnings Yield (Joel Greenblatt) % is ranked better than
61.03% of 2474 companies
in the Hardware industry
Industry Median: 3.315 vs WBO:DELL: 5.35

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Dell Technologies's Forward Rate of Return (Yacktman) % for the quarter that ended in Jan. 2024 was 8.99%. The Forward Rate of Return uses the normalized Free Cash Flow of the past seven years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Dell Technologies Earnings Yield (Joel Greenblatt) % Historical Data

The historical data trend for Dell Technologies's Earnings Yield (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Dell Technologies Annual Data
Trend Jan15 Jan16 Jan17 Jan18 Jan19 Jan20 Jan21 Jan22 Jan23 Jan24
Earnings Yield (Joel Greenblatt) %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.37 7.03 12.32 8.87 6.97

Dell Technologies Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Earnings Yield (Joel Greenblatt) % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 8.87 7.62 7.26 7.51 6.97

Competitive Comparison

For the Computer Hardware subindustry, Dell Technologies's Earnings Yield (Joel Greenblatt) %, along with its competitors' market caps and Earnings Yield (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Dell Technologies Earnings Yield (Joel Greenblatt) % Distribution

For the Hardware industry and Technology sector, Dell Technologies's Earnings Yield (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Dell Technologies's Earnings Yield (Joel Greenblatt) % falls into.



Dell Technologies Earnings Yield (Joel Greenblatt) % Calculation

In his book, The Little That Beat the Market, hedge fund manager Joel Greenblatt defines Earnings Yield as operating income divided by enterprise value.

Dell Technologiess Earnings Yield (Joel Greenblatt) for the fiscal year that ended in Jan. 2024 is calculated as

Earnings Yield (Joel Greenblatt)=EBIT/Enterprise Value
=4946.184/71095.2012
=6.96 %

Dell Technologies's EBIT for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was €4,970 Mil.



Dell Technologies  (WBO:DELL) Earnings Yield (Joel Greenblatt) % Explanation

Joel Greenblatt defines the earnings yield using the above equation because it more accurately reflects the company's profitability relative to its stock price. Items like interest payment and tax etc. are not directly related to the company's operational profitability.

Enterprise Value instead of market cap (share price) is used in the calculation because it is the real price stock and bond investors together pay for the company.


Be Aware

Joel Greenblatt's definition of earnings yield has the same problems the regular earnings yield does. It does not consider the growth of the company. It only looks at one-year's business operation. For cyclical companies, the earnings yield is usually highest at the peak of the business cycle. But these earnings are rarely sustainable.

Forward Rate of Return (Yacktman) % based on Don Yacktman's definition is a better measure of the expected rate of return for a stock.


Dell Technologies Earnings Yield (Joel Greenblatt) % Related Terms

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Dell Technologies (WBO:DELL) Business Description

Industry
Traded in Other Exchanges
Address
One Dell Way, Round Rock, TX, USA, 78682
Dell Technologies is a broad information technology vendor, primarily supplying hardware to enterprises. It is focused on premium personal computers and enterprise on-premises data center hardware. It holds top-three shares in its core markets of personal computers, peripheral displays, mainstream servers, and external storage. Dell is vertically-integrated but has a robust ecosystem of component and assembly partners, and also relies heavily on channel partners to fulfill its sales.