Dell (DELL) Shares Lower as First Global Cuts to Market Perform

November 24, 2009 9:36 AM EST

Analysts at First Global have downgraded shares of Dell (Nasdaq: DELL) from Moderate Outperform to Market Perform this morning.

The firm notes that despite an improving macro environment and business environment, Dell's "performance has been pale in comparison to peers and it continues to lose market share to Hewlett-Packard (NYSE: HPQ) and Acer." First Global also points out that a significant "mainstay" of Dell's sales, large enterprise accounts, "are yet to show strong signs of an increase in spending." Keeping this in mind, the firm believes that "all hopes now rest on the PC refresh cycle, which, however, will be slow to take off." Finally, First Global mentions Dell's now $3.8 billion in debt, a factor which will certainly put pressure on the PC-maker's bottom-line.

Dell shares have just opened the trading session about 2% lower, now trading around $14.52.

To see all the analyst action on shares of Dell following last week's Q3 results, visit our Analyst Ratings page.

Dell Inc., together with its subsidiaries, engages in the design, development, manufacture, marketing, sale, and support of computer systems and services worldwide.

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