Dell Technologies (NYSE:DELL) Hits New 52-Week High - Time to Buy?

Key Points

• Dell shares reached a new 52-week high, supported by strong results from Lenovo and Super Micro Computer that reinforced expectations for resilient PC demand and continued AI-server spending.
• Dell reported a strong quarter, with revenue up 87.5% year over year to $43.84 billion and adjusted EPS of $4.86 versus the $2.96 consensus estimate. Analysts remain broadly bullish, with a “Moderate Buy” consensus and an average price target of $492.43.
• Valuation and execution risks are increasing: the stock trades at a P/E of 39.61, while analysts warn that rapid AI-server growth could pressure margins. Investors will focus on AI-server orders, backlog conversion, margins and guidance when Dell reports fiscal second-quarter 2027 results on September 3.

Dell Technologies Inc. (NYSE:DELL - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Thursday . The company traded as high as $504.50 and last traded at $512.6040, with a volume of 498804 shares. The stock had previously closed at $484.50.

Dell Technologies News Summary

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

• Positive Sentiment: Strong results from competitor Lenovo Group indicated resilient PC and server demand, particularly from AI-related infrastructure. The read-through helped lift Dell and other hardware stocks, with Dell reaching a new high in extended trading. Here's why Dell stock is soaring after the Lenovo Group earnings
• Positive Sentiment: Super Micro Computer’s upbeat fiscal 2027 outlook reinforced expectations for continued AI-server spending. Investors view Dell as a major beneficiary of enterprise demand for high-performance computing systems. DELL Stock Climbs 4% in Thursday Pre-Market: What's Going On?
• Positive Sentiment: Recent coverage highlighted Dell’s expanding AI-server business, a multibillion-dollar backlog and improved revenue visibility. The company’s latest reported quarter also showed $43.84 billion in revenue, up 87.5% year over year, while adjusted earnings of $4.86 per share substantially exceeded expectations. Dell (DELL) Stock Surges Nearly 10% as AI Server Momentum Accelerates
• Neutral Sentiment: Dell is scheduled to report fiscal second-quarter 2027 results on September 3. Investors may remain focused on AI-server order growth, backlog conversion, margins and updated guidance ahead of the report. Dear Dell Stock Fans, Mark Your Calendars for September 3
• Negative Sentiment: Analysts and market commentary caution that rapid AI-server growth may be accompanied by margin compression. Dell’s valuation has also expanded considerably, leaving the stock more sensitive to any slowdown in AI spending or disappointing guidance. Dell’s AI Server Boom Is Just Getting Started
• Negative Sentiment: Reported insider-trading data showed extensive selling by company executives and investment entities, with no insider purchases during the cited six-month period. While sales can reflect diversification or scheduled transactions, they may temper investor confidence after the stock’s substantial advance.

Analyst Upgrades and Downgrades

A number of equities research analysts recently weighed in on DELL shares. Citigroup boosted their price objective on shares of Dell Technologies from $475.00 to $515.00 and gave the company a "buy" rating in a research report on Friday, July 24th. Wall Street Zen upgraded Dell Technologies from a "buy" rating to a "strong-buy" rating in a research note on Saturday, May 30th. Roth Capital initiated coverage on Dell Technologies in a report on Friday, May 29th. They set a "buy" rating for the company. Wells Fargo & Company increased their price target on Dell Technologies from $270.00 to $505.00 and gave the stock an "overweight" rating in a research report on Friday, May 29th. Finally, Citic Securities boosted their price objective on Dell Technologies from $160.00 to $505.00 and gave the company a "buy" rating in a research report on Monday, June 1st. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Dell Technologies currently has an average rating of "Moderate Buy" and an average target price of $492.43.

Dell Technologies Price Performance

The company has a market cap of $322.74 billion, a P/E ratio of 39.61, a PEG ratio of 0.94 and a beta of 1.33. The stock has a fifty day moving average price of $418.45 and a two-hundred day moving average price of $268.57.

Dell Technologies (NYSE:DELL - Get Free Report) last released its quarterly earnings results on Thursday, May 28th. The technology company reported $4.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.96 by $1.90. Dell Technologies had a negative return on equity of 366.90% and a net margin of 6.28%.The company had revenue of $43.84 billion during the quarter, compared to analysts' expectations of $35.74 billion. During the same quarter in the prior year, the business posted $1.55 earnings per share. The company's revenue for the quarter was up 87.5% compared to the same quarter last year. Dell Technologies has set its FY 2027 guidance at 17.900-17.900 EPS and its Q2 2027 guidance at 4.800-4.800 EPS. As a group, analysts forecast that Dell Technologies Inc. will post 17.77 earnings per share for the current year.

Dell Technologies Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, July 31st. Shareholders of record on Tuesday, July 21st were paid a dividend of $0.63 per share. The ex-dividend date of this dividend was Tuesday, July 21st. This represents a $2.52 annualized dividend and a yield of 0.5%. Dell Technologies's dividend payout ratio (DPR) is presently 20.02%.

Insider Transactions at Dell Technologies

In other news, Director Silver Lake Partners V. De (Aiv sold 34,869 shares of the company's stock in a transaction on Thursday, July 9th. The stock was sold at an average price of $453.54, for a total value of $15,814,486.26. Following the completion of the sale, the director owned 43,961 shares in the company, valued at $19,938,071.94. This represents a 44.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Lake Group L.L.C. Silver sold 16,679 shares of the firm's stock in a transaction that occurred on Friday, June 26th. The stock was sold at an average price of $396.37, for a total transaction of $6,611,055.23. The disclosure for this sale is available in the SEC filing. Insiders sold 3,434,758 shares of company stock worth $1,448,870,683 in the last three months. 41.50% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Dell Technologies

Large investors have recently made changes to their positions in the company. Accel Wealth Management boosted its holdings in Dell Technologies by 2.8% in the second quarter. Accel Wealth Management now owns 1,421 shares of the technology company's stock worth $613,000 after acquiring an additional 39 shares in the last quarter. Ariadne Wealth Management LP raised its position in shares of Dell Technologies by 1.6% during the first quarter. Ariadne Wealth Management LP now owns 3,092 shares of the technology company's stock worth $508,000 after purchasing an additional 49 shares during the period. Bell Investment Advisors Inc raised its position in shares of Dell Technologies by 19.3% during the first quarter. Bell Investment Advisors Inc now owns 322 shares of the technology company's stock worth $53,000 after purchasing an additional 52 shares during the period. Vectors Research Management LLC lifted its holdings in shares of Dell Technologies by 0.4% in the 1st quarter. Vectors Research Management LLC now owns 14,645 shares of the technology company's stock worth $2,404,000 after purchasing an additional 55 shares in the last quarter. Finally, Raleigh Capital Management Inc. grew its position in Dell Technologies by 6.9% in the 1st quarter. Raleigh Capital Management Inc. now owns 1,044 shares of the technology company's stock valued at $171,000 after purchasing an additional 67 shares during the period. Institutional investors and hedge funds 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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