Dell Technologies (NYSE:DELL) Stock Falls 3.6% – Here’s Why

Shares of Dell Technologies Inc. (NYSE:DELL) were down 3.6% on Tuesday. The stock traded as low as $321.25 and last traded at $333.8090. Approximately 6,480,447 shares changed hands during trading, a decline of 21% from the average daily volume of 8,203,380 shares. The stock had previously closed at $346.31.

Key Headlines Impacting Dell Technologies

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

• Positive Sentiment: Dell’s AI-server business remains a potential support: reports point to strong demand, a roughly $95 billion backlog and raised FY2027 guidance. Dell has also shown accelerating revenue in recent quarters, strengthening the case that AI sales can offset weakness elsewhere. Article: DELL Rallies 130% in a Year: Can AI Momentum Fuel More Gains?
• Neutral Sentiment: Dell introduced expanded cyber-recovery protections for AI and identity systems, adding to its enterprise offerings, though the report did not indicate an immediate financial impact. Article: Dell expands cyber recovery to protect AI and identity systems
• Negative Sentiment: A selloff in NVIDIA is weighing on AI-server makers, including Dell, as investors react to turbulence at a key chip supplier. The wider hardware-group decline adds pressure independent of any new Dell announcement. Article: Super Micro Falls as NVIDIA’s Slide Drags AI Server Stocks
• Negative Sentiment: Investor sentiment is also pressured by recent analyst downgrades, forecasts for weaker PC shipments and concerns about component costs and margins. The report says the move appears sentiment-driven rather than tied to a fresh company filing. It also notes substantial insider sales, which may contribute to caution after the stock’s strong run. Article: Dell Falls as Downgrade Pressure and Weak PC Demand Concerns Weigh on Sentiment
• Negative Sentiment: Dell and HPE have surrendered a significant portion of their AI-driven gains in recent weeks. Investors are looking to upcoming earnings for evidence that Dell’s AI growth can translate into cash flow and support a rebound. Article: Dell and HPE Were AI Winners Until the Selloff

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on DELL shares. Evercore restated an “outperform” rating and issued a $650.00 price target on shares of Dell Technologies in a research report on Wednesday, September 9th. Melius Research increased their price objective on shares of Dell Technologies from $650.00 to $735.00 and gave the stock a “buy” rating in a research note on Wednesday, September 2nd. Barclays downgraded Dell Technologies from an “overweight” rating to an “equal weight” rating and decreased their target price for the company from $603.00 to $574.00 in a research note on Wednesday, October 14th. TD Cowen upped their target price on Dell Technologies from $500.00 to $550.00 and gave the company a “hold” rating in a report on Tuesday, September 29th. Finally, Mizuho increased their price target on Dell Technologies from $600.00 to $650.00 and gave the stock an “outperform” rating in a research report on Tuesday, October 6th. One research analyst has rated the stock with a Strong Buy rating, twenty-six have given a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $569.96.

Dell Technologies Stock Down 3.6%

The firm’s 50-day moving average price is $502.66 and its 200 day moving average price is $337.59. The firm has a market cap of $212.24 billion, a P/E ratio of 19.37, a price-to-earnings-growth ratio of 0.39 and a beta of 1.45.

Dell Technologies (NYSE:DELL) last issued its quarterly earnings data on Tuesday, September 1st. The technology company reported $7.04 earnings per share for the quarter, beating the consensus estimate of $4.91 by $2.13. The firm had revenue of $46.97 billion for the quarter, compared to the consensus estimate of $44.89 billion. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. Dell Technologies’s quarterly revenue was up 57.7% compared to the same quarter last year. During the same period last year, the firm posted $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, equities analysts predict that Dell Technologies Inc. will post 25.13 earnings per share for the current year.

Dell Technologies Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, October 30th. Shareholders of record on Tuesday, October 20th were paid a dividend of $0.63 per share. The ex-dividend date of this dividend was Tuesday, October 20th. This represents a $2.52 annualized dividend and a yield of 0.8%. Dell Technologies’s payout ratio is presently 14.63%.

Insider Activity

In other Dell Technologies news, Director Silver Lake Partners Iv, L.P. sold 1,800 shares of the firm’s stock in a transaction dated Friday, October 9th. The shares were sold at an average price of $586.40, for a total transaction of $1,055,520.00. Following the transaction, the director owned 1,404,569 shares of the company’s stock, valued at approximately $823,639,261.60. This trade represents a 0.13% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Spv-2 L.P. Sl sold 44,408 shares of the firm’s stock in a transaction dated Friday, October 9th. The shares were sold at an average price of $582.30, for a total transaction of $25,858,778.40. Following the transaction, the director directly owned 43,740 shares in the company, valued at approximately $25,469,802. The trade was a 50.38% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,819,650 shares of company stock worth $991,183,596 over the last ninety days. 41.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Dell Technologies

Several hedge funds and other institutional investors have recently added to or reduced their stakes in DELL. Voya Investment Management LLC grew its position in shares of Dell Technologies by 64.1% in the 3rd quarter. Voya Investment Management LLC now owns 343,650 shares of the technology company’s stock valued at $184,867,000 after purchasing an additional 134,213 shares during the period. Bogart Wealth LLC raised its holdings in Dell Technologies by 7.0% during the 3rd quarter. Bogart Wealth LLC now owns 2,148 shares of the technology company’s stock worth $1,155,000 after buying an additional 140 shares during the period. Public Sector Pension Investment Board lifted its stake in Dell Technologies by 389.1% in the third quarter. Public Sector Pension Investment Board now owns 248,586 shares of the technology company’s stock valued at $142,129,000 after buying an additional 197,759 shares in the last quarter. Global Retirement Partners LLC boosted its holdings in shares of Dell Technologies by 11.1% in the third quarter. Global Retirement Partners LLC now owns 8,422 shares of the technology company’s stock valued at $4,531,000 after buying an additional 843 shares during the period. Finally, Rothschild Investment LLC boosted its holdings in shares of Dell Technologies by 153.7% in the third quarter. Rothschild Investment LLC now owns 3,093 shares of the technology company’s stock valued at $1,664,000 after buying an additional 1,874 shares during the period. Institutional investors own 76.37% of the company’s stock.

Dell Technologies Company Profile

Dell Technologies is a global technology company that develops, sells and supports computers and related infrastructure. Its products include personal computers, workstations, monitors and peripherals, as well as servers, storage systems and networking equipment for businesses and other organizations. The company also provides technology services and solutions, including support, consulting and offerings related to cloud computing, data management and cybersecurity. Dell serves consumers, businesses, governments and other institutions in markets around the world.