Dell Technologies (NYSE:DELL) Trading Up 4.7% – Should You Buy?

Dell Technologies Inc. (NYSE:DELL) traded up 4.7% during trading on Thursday . The stock traded as high as $593.98 and last traded at $589.5710. 9,136,069 shares were traded during mid-day trading, an increase of 9% from the average session volume of 8,418,160 shares. The stock had previously closed at $563.29.

Dell Technologies News Summary

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

• Positive Sentiment: Dell’s AI order pipeline and backlog continue to expand rapidly, while recent coverage points to server revenue roughly doubling. The company previously reported $16.4 billion in quarterly AI-optimized server revenue and raised its fiscal 2027 AI-server revenue target to $74 billion. Dell’s AI backlog surge
• Positive Sentiment: Goldman Sachs’ projection that the global server market could reach $1.5 trillion by 2030, representing a 39% compound annual growth rate, is reinforcing expectations for sustained demand for Dell’s data-center equipment. Goldman Sachs server-market outlook
• Positive Sentiment: The broader AI-server sector is rallying, lifting Dell alongside Hewlett Packard Enterprise and Super Micro Computer. Dell is also scheduled to join the S&P 100 on September 21, which could generate additional demand from index-tracking funds. AI server stocks rally
• Positive Sentiment: A partnership with Axelera AI adds a lower-power inference accelerator option to Dell’s systems, broadening its AI hardware ecosystem, although no specific orders or revenue were disclosed. Dell and Axelera AI collaboration
• Neutral Sentiment: Dell completed a $5 billion senior-notes offering, providing capital for expansion and refinancing but adding to borrowing obligations as AI infrastructure investment accelerates. Dell senior-notes offering
• Negative Sentiment: Silver Lake-affiliated directors disclosed additional sales totaling tens of millions of dollars. The continued insider selling creates a potential supply overhang and profit-taking concern, particularly after Dell’s substantial rally. Investors must also weigh elevated expectations and execution risks against the AI growth opportunity.

Wall Street Analysts Forecast Growth

Several brokerages have weighed in on DELL. Morgan Stanley upped their target price on shares of Dell Technologies from $434.00 to $499.00 and gave the stock an “equal weight” rating in a research report on Wednesday, September 2nd. Guggenheim upgraded Dell Technologies to a “buy” rating in a report on Monday, June 1st. Loop Capital raised their price objective on Dell Technologies from $150.00 to $550.00 and gave the company a “buy” rating in a research note on Friday, May 29th. Citic Securities lifted their price objective on Dell Technologies from $160.00 to $505.00 and gave the stock a “buy” rating in a report on Monday, June 1st. Finally, Barclays upped their target price on Dell Technologies from $550.00 to $603.00 and gave the company an “overweight” rating in a report on Wednesday, September 2nd. One investment analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $560.24.

Dell Technologies Price Performance

The company has a 50-day moving average price of $459.06 and a 200-day moving average price of $333.89. The firm has a market capitalization of $382.11 billion, a PE ratio of 34.22, a P/E/G ratio of 0.56 and a beta of 1.34.

Dell Technologies (NYSE:DELL) last released its quarterly earnings results on Tuesday, September 1st. The technology company reported $7.04 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.91 by $2.13. The company had revenue of $46.97 billion for the quarter, compared to analysts’ expectations of $44.89 billion. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. The firm’s revenue for the quarter was up 57.7% compared to the same quarter last year. During the same period last year, the company earned $1.70 EPS. 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, research analysts predict that Dell Technologies Inc. will post 25.14 earnings per share for the current fiscal year.

Dell Technologies Dividend Announcement

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

Insider Buying and Selling at Dell Technologies

In other Dell Technologies news, Director Spv-2 L.P. Sl sold 83,006 shares of the stock in a transaction on Thursday, September 3rd. The stock was sold at an average price of $517.34, for a total transaction of $42,942,324.04. Following the transaction, the director owned 73,185 shares of the company’s stock, valued at $37,861,527.90. This represents a 53.14% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, Director Silver Lake Partners Iv, L.P. sold 91,191 shares of Dell Technologies stock in a transaction on Thursday, September 3rd. The shares were sold at an average price of $517.34, for a total value of $47,176,751.94. Following the completion of the sale, the director directly owned 64,209 shares of the company’s stock, valued at approximately $33,217,884.06. This represents a 58.68% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 1,681,793 shares of company stock valued at $834,887,936 over the last quarter. 41.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of DELL. Bank of America Corp DE grew its holdings in Dell Technologies by 7.6% in the first quarter. Bank of America Corp DE now owns 14,394,835 shares of the technology company’s stock valued at $2,362,624,000 after purchasing an additional 1,011,101 shares during the period. Geode Capital Management LLC boosted its holdings in shares of Dell Technologies by 1.5% in the 4th quarter. Geode Capital Management LLC now owns 7,478,732 shares of the technology company’s stock valued at $939,808,000 after purchasing an additional 108,011 shares during the last quarter. Deutsche Bank AG grew its stake in shares of Dell Technologies by 24.6% during the 4th quarter. Deutsche Bank AG now owns 5,517,070 shares of the technology company’s stock valued at $694,489,000 after buying an additional 1,090,336 shares during the period. Norges Bank purchased a new stake in shares of Dell Technologies during the 4th quarter valued at $607,349,000. Finally, Wellington Management Group LLP increased its holdings in shares of Dell Technologies by 140.1% during the 2nd quarter. Wellington Management Group LLP now owns 2,526,987 shares of the technology company’s stock worth $1,090,294,000 after buying an additional 1,474,347 shares during the last quarter. Institutional investors and hedge funds 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.