Dell Technologies (NYSE:DELL) Shares Down 3.6% – Time to Sell?

Dell Technologies Inc. (NYSE:DELL)’s stock price dropped 3.6% during trading on Friday . The stock traded as low as $452.90 and last traded at $455.22. 3,922,370 shares were traded during mid-day trading, a decline of 51% from the average daily volume of 8,072,210 shares. The stock had previously closed at $472.26.

Dell Technologies News Roundup

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

• Positive Sentiment: AI server demand remains a major catalyst. Dell’s record $51.3 billion AI-optimized server backlog and continued data-center demand are expected to drive Infrastructure Solutions Group growth. Analysts project more than 100% year-over-year EPS growth and quarterly revenue of roughly $44 billion to $45 billion. Dell AI Server Backlog Article
• Positive Sentiment: Expectations for another earnings beat are supporting sentiment. Dell substantially exceeded estimates in its previous quarter, and analysts anticipate that AI infrastructure orders, enterprise PC demand and high-performance-computing partnerships will sustain momentum through fiscal 2027. Dell Earnings Outlook Article
• Neutral Sentiment: Options markets imply a sizable post-earnings move. Traders are preparing for heightened volatility after the September 1 report, with Dell trading near its recent high. The size of the expected move underscores the risk of a sharp reaction in either direction if results or guidance differ from expectations. Expected Dell Earnings Move Article
• Negative Sentiment: Potential semiconductor tariffs are pressuring the stock ahead of earnings. Proposed tariffs affecting servers and PCs could raise Dell’s costs, weaken demand or squeeze already modest server margins. Investors are also watching supply constraints and pricing pressure, particularly if Dell cannot build AI servers quickly enough to meet orders. Dell Semiconductor Tariff Concerns
• Negative Sentiment: High expectations increase the risk of disappointment. Dell’s strong year-to-date performance and elevated valuation mean investors may require a beat-and-raise outlook. Consensus estimates reportedly already exceed portions of management’s prior guidance, leaving less room for execution issues or cautious commentary. Dell Valuation and Server Capacity Article

Wall Street Analysts Forecast Growth

DELL has been the subject of several recent analyst reports. Evercore restated an “outperform” rating and set a $550.00 target price on shares of Dell Technologies in a research note on Wednesday, August 19th. Wall Street Zen raised Dell Technologies from a “buy” rating to a “strong-buy” rating in a research report on Saturday, May 30th. TD Cowen increased their target price on Dell Technologies from $150.00 to $450.00 and gave the company a “hold” rating in a research note on Friday, May 29th. UBS Group lifted their price target on shares of Dell Technologies from $440.00 to $455.00 and gave the stock a “neutral” rating in a research note on Wednesday. Finally, Jefferies Financial Group downgraded shares of Dell Technologies to a “hold” rating in a research note on Monday, June 1st. One analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $485.24.

Dell Technologies Trading Down 3.6%

The company has a 50-day moving average of $431.85 and a 200-day moving average of $295.17. The firm has a market capitalization of $295.03 billion, a price-to-earnings ratio of 36.16, a price-to-earnings-growth ratio of 0.96 and a beta of 1.33.

Dell Technologies (NYSE:DELL) last released its earnings results on Thursday, May 28th. The technology company reported $4.86 earnings per share for the quarter, beating the consensus estimate of $2.96 by $1.90. The firm had revenue of $43.84 billion during the quarter, compared to analyst estimates of $35.74 billion. Dell Technologies had a net margin of 6.28% and a negative return on equity of 366.90%. The firm’s revenue for the quarter was up 87.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.55 earnings per share. On average, research analysts forecast that Dell Technologies Inc. will post 18.32 earnings per share for the current year.

Dell Technologies Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, July 31st. Investors of record on Tuesday, July 21st were given a dividend of $0.63 per share. This represents a $2.52 dividend on an annualized basis and a dividend yield of 0.6%. The ex-dividend date of this dividend was Tuesday, July 21st. Dell Technologies’s dividend payout ratio is currently 20.02%.

Insider Buying and Selling at Dell Technologies

In other news, Director Spv-2 L.P. Sl sold 59,492 shares of the stock in a transaction that occurred on Thursday, July 9th. The stock was sold at an average price of $453.54, for a total transaction of $26,982,001.68. Following the sale, the director directly owned 89,222 shares in the company, valued at approximately $40,465,745.88. This represents a 40.00% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Lynn Vojvodich Radakovich sold 2,022 shares of the firm’s stock in a transaction that occurred on Monday, August 24th. The stock was sold at an average price of $438.21, for a total value of $886,060.62. Following the completion of the sale, the director directly owned 25,267 shares in the company, valued at approximately $11,072,252.07. This trade represents a 7.41% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 3,436,780 shares of company stock worth $1,449,756,744 in the last ninety days. Insiders own 41.50% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of DELL. Corient Private Wealth LP increased its position in Dell Technologies by 20.4% in the 2nd quarter. Corient Private Wealth LP now owns 114,126 shares of the technology company’s stock valued at $49,240,000 after acquiring an additional 19,304 shares during the period. Advus Financial Partners LLC acquired a new position in Dell Technologies during the second quarter worth about $356,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in Dell Technologies during the second quarter valued at approximately $9,830,000. California State Teachers Retirement System grew its holdings in shares of Dell Technologies by 41,141.5% in the 2nd quarter. California State Teachers Retirement System now owns 198,605,353 shares of the technology company’s stock worth $85,690,266,000 after acquiring an additional 198,123,786 shares during the last quarter. Finally, Greenland Capital Management LP acquired a new position in shares of Dell Technologies in the second quarter worth about $589,000. Institutional investors own 76.37% of the company’s stock.

Dell Technologies Company Profile

Dell Technologies Inc is a multinational technology company that designs, manufactures and sells a broad range of information technology products, solutions and services. Its offerings span client computing devices (consumer and commercial laptops and desktops), enterprise infrastructure (servers, storage systems and networking equipment), software and cloud infrastructure, and a variety of professional services such as IT consulting, deployment, managed services and financing solutions. The company serves organizations of all sizes as well as individual consumers, with products and services aimed at enabling digital transformation and modern IT environments.

Founded by Michael Dell in 1984, the company grew from a direct-to-consumer PC business into a diversified IT provider through organic expansion and strategic acquisitions.