Dell Technologies (NYSE:DELL) Trading 11.8% Higher – Here’s What Happened

Dell Technologies Inc. (NYSE:DELL)’s stock price shot up 11.8% on Friday . The stock traded as high as $567.75 and last traded at $566.6220. Approximately 14,327,152 shares changed hands during trading, an increase of 71% from the average session volume of 8,372,855 shares. The stock had previously closed at $506.62.

More Dell Technologies News

Here are the key news stories impacting Dell Technologies this week:

• Positive Sentiment: Royal Bank of Canada initiated coverage with an Outperform rating and a $640 price target, citing Dell’s exposure to enterprise AI investment, compute modernization, storage expansion and PC refresh cycles. RBC initiates coverage of Dell
• Positive Sentiment: Oracle’s planned approximately $95 billion capital-spending program reinforced the broader AI data-center hardware trade. Dell is viewed as a major supplier of Nvidia-based servers and related equipment, benefiting from continued hyperscaler and enterprise demand. Oracle spending boosts AI hardware stocks
• Positive Sentiment: Dell’s reported approximately $60.9 billion in AI-server orders and a roughly $95 billion backlog continue to support the growth narrative. Recent quarterly results also beat expectations, with $7.04 EPS versus a $4.91 consensus estimate and revenue of $46.97 billion, up 57.7% year over year. Dell AI server orders and backlog
• Neutral Sentiment: Dell is seeking about $4 billion through a bond offering to refinance debt. The transaction could improve financial flexibility, but investors will monitor borrowing costs, leverage and cash-flow conversion as the company expands AI infrastructure capacity. Dell bond offering
• Negative Sentiment: Several insiders, including Silver Lake-affiliated entities and Dell’s chief marketing officer, recently sold substantial amounts of stock. The sales may reflect diversification or liquidity needs, but they could add near-term supply pressure while DELL trades near record levels. Dell insider selling
• Negative Sentiment: Reports of widening supply shortages highlight execution risk: Dell may have difficulty meeting AI demand, while its sharply higher valuation leaves the stock vulnerable to profit-taking if backlog conversion, margins or demand weaken. Dell supply shortages

Analyst Ratings Changes

A number of research firms have recently weighed in on DELL. Loop Capital lifted their target price on Dell Technologies from $150.00 to $550.00 and gave the stock a “buy” rating in a report on Friday, May 29th. Bank of America lifted their price objective on shares of Dell Technologies from $505.00 to $600.00 and gave the stock a “buy” rating in a research note on Monday, August 31st. Barclays increased their target price on shares of Dell Technologies from $550.00 to $603.00 and gave the stock an “overweight” rating in a research report on Wednesday, September 2nd. Evercore reaffirmed an “outperform” rating and set a $650.00 target price on shares of Dell Technologies in a report on Wednesday. Finally, Guggenheim upgraded shares of Dell Technologies to a “buy” rating in a research report on Monday, June 1st. One analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $560.24.

Dell Technologies Stock Up 11.8%

The stock has a market capitalization of $367.23 billion, a price-to-earnings ratio of 32.89, a P/E/G ratio of 0.55 and a beta of 1.34. The business’s 50 day simple moving average is $447.99 and its 200-day simple moving average is $321.75.

Dell Technologies (NYSE:DELL) last issued its earnings results on Tuesday, September 1st. The technology company reported $7.04 EPS for the quarter, beating the consensus estimate of $4.91 by $2.13. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. The company had revenue of $46.97 billion during the quarter, compared to analysts’ expectations of $44.89 billion. During the same period in the previous year, the company earned $1.70 EPS. The business’s revenue for the quarter was up 57.7% compared to the same quarter last year. Dell Technologies has set its FY 2027 guidance at 25.500-25.500 EPS and its Q3 2027 guidance at 6.500-6.500 EPS. On average, analysts expect that Dell Technologies Inc. will post 25.14 earnings per share for the current year.

Dell Technologies Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Tuesday, October 20th will be given a dividend of $0.63 per share. This represents a $2.52 annualized dividend and a yield of 0.4%. The ex-dividend date is Tuesday, October 20th. Dell Technologies’s payout ratio is currently 14.63%.

Insider Transactions at Dell Technologies

In related news, Director Silver Lake Partners V. De (Aiv sold 28,695 shares of the firm’s stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $527.07, for a total value of $15,124,273.65. Following the sale, the director directly owned 62,733 shares of the company’s stock, valued at $33,064,682.31. This trade represents a 31.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Silver Lake Partners Iv, L.P. sold 2,900 shares of Dell Technologies stock in a transaction dated Tuesday, September 8th. The shares were sold at an average price of $529.09, for a total value of $1,534,361.00. Following the completion of the transaction, the director owned 1,398,935 shares in the company, valued at approximately $740,162,519.15. This represents a 0.21% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 1,302,611 shares of company stock worth $624,243,159. 41.50% of the stock is owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Cornerstone Financial Management LLC increased its position in Dell Technologies by 56.1% during the 2nd quarter. Cornerstone Financial Management LLC now owns 64 shares of the technology company’s stock worth $28,000 after purchasing an additional 23 shares in the last quarter. Byrne Asset Management LLC acquired a new stake in Dell Technologies in the second quarter valued at approximately $38,000. Atwood & Palmer Inc. grew its stake in shares of Dell Technologies by 860.0% during the second quarter. Atwood & Palmer Inc. now owns 96 shares of the technology company’s stock worth $41,000 after buying an additional 86 shares during the last quarter. Comprehensive Financial Planning Inc. PA acquired a new position in shares of Dell Technologies during the second quarter worth $43,000. Finally, Allied Private Wealth LLC bought a new position in shares of Dell Technologies in the 2nd quarter valued at $63,000. Institutional investors own 76.37% of the company’s stock.

About Dell Technologies

Dell Technologies Inc is a global technology company that develops, sells and supports information technology hardware, software and services. Its portfolio includes personal computers, workstations, monitors, displays, peripherals and related accessories marketed primarily under the Dell brand.

The company also provides enterprise infrastructure solutions, including servers, storage systems, networking equipment, data protection, cybersecurity and cloud-related technologies. Dell Technologies supports organizations with consulting, deployment, managed and support services designed to help them operate data centers, hybrid cloud environments and modern workplace technology.

Michael Dell founded the company in 1984 and serves as its chairman and chief executive officer.