Dell Technologies (NYSE:DELL) Shares Gap Down – Here’s Why

Dell Technologies Inc. (NYSE:DELL)’s stock price gapped down prior to trading on Thursday. The stock had previously closed at $373.68, but opened at $336.09. Dell Technologies shares last traded at $355.9450, with a volume of 1,934,064 shares.

Top Dell Technologies Stories

Here are a few of the latest stories about DELL:

• Positive Sentiment: Dell’s reported $95 billion AI-server backlog and record AI orders support its growth outlook. One analysis argues that a shift in the buyers of AI hardware could create further upside, though execution and other risks remain. Read article: Prediction: One AI Trend Could Send Dell Stock Higher
• Neutral Sentiment: Gartner’s forecast of a $957 billion AI-server market points to substantial potential demand, but the forecast has not prevented selling in server makers as investors focus on near-term uncertainty. Read article: Super Micro Slides Despite Gartner’s AI Server Forecast; Dell Falls
• Negative Sentiment: Reports that Nvidia’s board may consider CEO Jensen Huang’s departure have unsettled investors. Because Dell’s AI-server business depends on the broader AI hardware ecosystem, concerns about Nvidia are weighing on Dell and other related stocks. Read article: Today’s Market Movers: CoreWeave, Dell and Super Micro Slide

Analyst Ratings Changes

A number of equities analysts have issued reports on the company. Citigroup lifted their price target on Dell Technologies from $515.00 to $600.00 and gave the company a “buy” rating in a research note on Wednesday, September 2nd. TD Cowen raised their price objective on shares of Dell Technologies from $500.00 to $550.00 and gave the stock a “hold” rating in a report on Tuesday, September 29th. Raymond James Financial boosted their target price on Dell Technologies from $500.00 to $617.00 and gave the company an “outperform” rating in a research note on Wednesday, September 2nd. KeyCorp reaffirmed a “sector weight” rating on shares of Dell Technologies in a research report on Wednesday, September 2nd. Finally, Fox Advisors upgraded Dell Technologies from an “equal weight” rating to an “overweight” rating and set a $625.00 price target for the company in a research note on Wednesday, September 2nd. One investment analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and nine have assigned a Hold rating to the company. According to MarketBeat, Dell Technologies currently has an average rating of “Moderate Buy” and an average target price of $569.96.

Dell Technologies Stock Up 0.0%

The stock has a 50-day simple moving average of $499.22 and a two-hundred day simple moving average of $339.97. The firm has a market cap of $237.67 billion, a PE ratio of 21.58, a P/E/G ratio of 0.35 and a beta of 1.45.

Dell Technologies (NYSE:DELL) last announced its quarterly earnings results on Tuesday, September 1st. The technology company reported $7.04 EPS for the quarter, topping analysts’ consensus estimates of $4.91 by $2.13. Dell Technologies had a negative return on equity of 578.85% and a net margin of 7.53%. The business had revenue of $46.97 billion for the quarter, compared to analysts’ expectations of $44.89 billion. During the same period in the previous year, the firm earned $1.70 EPS. The business’s quarterly revenue was up 57.7% on a year-over-year basis. 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. Research analysts expect that Dell Technologies Inc. will post 25.13 earnings per share for the current year.

Dell Technologies Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, October 30th. Shareholders of record on Tuesday, October 20th were issued a dividend of $0.63 per share. The ex-dividend date was Tuesday, October 20th. This represents a $2.52 dividend on an annualized basis and a dividend yield of 0.7%. Dell Technologies’s dividend payout ratio is 14.63%.

Insiders Place Their Bets

In other Dell Technologies news, Director Silver Lake Partners V. De (Aiv sold 25,494 shares of the stock in a transaction on Friday, October 9th. The stock was sold at an average price of $582.30, for a total transaction of $14,845,156.20. Following the sale, the director directly owned 22,686 shares in the company, valued at approximately $13,210,057.80. This trade represents a 52.91% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Egon Durban sold 1,850 shares of the business’s stock in a transaction that occurred on Wednesday, September 23rd. The shares were sold at an average price of $548.40, for a total transaction of $1,014,540.00. Following the transaction, the director directly owned 1,405,236 shares of the company’s stock, valued at $770,631,422.40. The trade was a 0.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders have sold 1,819,650 shares of company stock valued at $991,183,596. Insiders own 41.50% of the company’s stock.

Institutional Trading of Dell Technologies

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in DELL. Collective Family Office LLC increased its position in Dell Technologies by 1.5% in the third quarter. Collective Family Office LLC now owns 1,299 shares of the technology company’s stock worth $699,000 after buying an additional 19 shares in the last quarter. North Star Investment Management Corp. lifted its holdings in Dell Technologies by 0.3% in the 3rd quarter. North Star Investment Management Corp. now owns 6,992 shares of the technology company’s stock worth $3,761,000 after purchasing an additional 21 shares in the last quarter. Cornerstone Financial Management LLC boosted its stake in Dell Technologies by 56.1% in 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 during the period. Beaumont Financial Advisors LLC grew its holdings in Dell Technologies by 0.3% during the 3rd quarter. Beaumont Financial Advisors LLC now owns 8,713 shares of the technology company’s stock valued at $4,687,000 after buying an additional 24 shares in the last quarter. Finally, Blue Bell Private Wealth Management LLC raised its position in shares of Dell Technologies by 5.4% during the third quarter. Blue Bell Private Wealth Management LLC now owns 469 shares of the technology company’s stock valued at $252,000 after buying an additional 24 shares during the last quarter. 76.37% of the stock is owned by hedge funds and other institutional investors.

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.