Dell Technologies Inc. and HP Inc. recently released their latest quarterly earnings, both outperforming Wall Street estimates. Their strong performances are heavily attributed to the significant spike in PC demand in 2020.
With lockdowns taking effect across the United States as well as the world since the start of the COVID-19 pandemic, businesses and academic institutions alike have adopted remote work and schooling mediums, thus leading to surging demand for PCs among professionals and students.
Dell Technologies Inc. and HP Inc. were two of the frontrunners who took advantage of this recent trend. While Dell enjoyed a 2.8% sales increase to $23.5 billion for the period that ended on October 30th, rival HP hit a new sales record, shipping a colossal 19 million PCs during the latest financial quarter. As a result, HP boosted its dividends by 10%.
In addition to increasing their sales revenue, both HP and Dell have succeeded in limiting their costs since the start of the global pandemic. This has resulted in both companies reporting greater profit margins than initially expected.
While HP shares gained 5% in extended trading, Dell shares have enjoyed a staggering 37% growth since the start of the year.
