Dell Technologies (NYSE:DELL) Stock Price Down 7.7% – What’s Next?

Shares of Dell Technologies Inc. (NYSE:DELL) were down 7.7% during trading on Monday. The stock traded as low as $391.25 and last traded at $391.7370. 6,436,573 shares were traded during trading, a decline of 21% from the average session volume of 8,194,189 shares. The stock had previously closed at $424.30.

Dell Technologies News Roundup

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

• Positive Sentiment: Dell introduced cybersecurity and resilience tools for AI environments, including quantum-safe encryption and identity protections. The additions could strengthen its AI infrastructure offering, though their near-term financial impact is unclear. Dell Technologies Unveiled New Cybersecurity Tools For AI Environments
• Neutral Sentiment: Michael Dell reportedly lost the title of the world’s fifth-richest person to Mark Zuckerberg as stocks moved after the midterms. The item reflects market and wealth fluctuations, rather than a change in Dell’s business outlook. Mark Zuckerberg takes fifth-richest title from Michael Dell
• Negative Sentiment: Election results weighed on technology shares, with coverage pointing to investor concern about potential voter opposition to data-center development. Dell was among the AI-server-related stocks under pressure. Dell Technologies and HPE Stocks Fall as Election Results Weigh on Tech
• Negative Sentiment: Broader concerns over AI-server margins and data-center backlash pressured the sector, affecting Dell alongside Super Micro Computer and Hewlett Packard Enterprise. The reports suggest investors are questioning whether AI demand will translate into attractive, sustainable returns. AI Server Stocks Weighed by Margin Concerns and Data-Center Backlash

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the stock. Citigroup upped their price objective on shares of Dell Technologies from $515.00 to $600.00 and gave the company a “buy” rating in a research note on Wednesday, September 2nd. Melius Research lifted their target price on shares of Dell Technologies from $650.00 to $735.00 and gave the company a “buy” rating in a research note on Wednesday, September 2nd. Deutsche Bank Aktiengesellschaft began coverage on shares of Dell Technologies in a report on Thursday, September 3rd. They set a “hold” rating and a $480.00 price target on the stock. Sanford C. Bernstein upped their price target on shares of Dell Technologies from $500.00 to $650.00 and gave the stock an “outperform” rating in a research note on Wednesday, September 2nd. Finally, TD Cowen increased their price objective on Dell Technologies from $500.00 to $550.00 and gave the stock a “hold” rating in a report on Tuesday, September 29th. One investment analyst has rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat.com, Dell Technologies presently has a consensus rating of “Moderate Buy” and an average target price of $569.96.

Dell Technologies Stock Down 9.1%

The stock has a market cap of $236.15 billion, a P/E ratio of 23.54, a price-to-earnings-growth ratio of 0.42 and a beta of 1.45. The firm’s 50-day moving average is $510.65 and its two-hundred day moving average is $334.36.

Dell Technologies (NYSE:DELL) last posted its earnings results on Tuesday, September 1st. The technology company reported $7.04 EPS for the quarter, topping 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 the consensus estimate of $44.89 billion. During the same period in the previous year, the firm posted $1.70 earnings per share. The company’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. Analysts anticipate that Dell Technologies Inc. will post 25.13 earnings per share for the current fiscal year.

Dell Technologies Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, October 30th. Stockholders of record on Tuesday, October 20th were issued a dividend of $0.63 per share. The ex-dividend date of this dividend 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 currently 14.63%.

Insider Buying and Selling

In other news, Director Silver Lake Partners Iv, L.P. sold 91,191 shares of the business’s 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 in the company, valued at approximately $33,217,884.06. The trade was a 58.68% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Spv-2 L.P. Sl sold 83,006 shares of Dell Technologies stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $517.34, for a total value of $42,942,324.04. Following the completion of the transaction, the director owned 73,185 shares in the company, valued at $37,861,527.90. The trade was a 53.14% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 1,819,650 shares of company stock worth $991,183,596. Insiders own 41.50% of the company’s stock.

Institutional Investors Weigh In On Dell Technologies

Several hedge funds have recently made changes to their positions in the stock. Collective Family Office LLC boosted its stake in Dell Technologies by 1.5% during 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. boosted its position in shares of Dell Technologies by 0.3% during the 3rd quarter. North Star Investment Management Corp. now owns 6,992 shares of the technology company’s stock valued at $3,761,000 after acquiring an additional 21 shares in the last quarter. Cornerstone Financial Management LLC increased its stake in Dell Technologies by 56.1% in the second quarter. Cornerstone Financial Management LLC now owns 64 shares of the technology company’s stock valued at $28,000 after acquiring an additional 23 shares during the period. Beaumont Financial Advisors LLC increased its stake in Dell Technologies by 0.3% in the third quarter. Beaumont Financial Advisors LLC now owns 8,713 shares of the technology company’s stock valued at $4,687,000 after acquiring an additional 24 shares during the period. Finally, Blue Bell Private Wealth Management LLC raised its position in Dell Technologies by 5.4% in the third quarter. Blue Bell Private Wealth Management LLC now owns 469 shares of the technology company’s stock worth $252,000 after purchasing an additional 24 shares in the last quarter. 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, peripherals and other end-user devices, as well as servers, storage systems, networking equipment and related infrastructure solutions for businesses, governments and other organizations.

The company also provides consulting, deployment, support, managed and cybersecurity services designed to help customers build and operate their technology environments.