Dell Technologies (NYSE:DELL) Stock Price Down 2.1% - Should You Sell?

Key Points

• Dell shares fell 2.1% to approximately $432.59, with trading volume 47% below the average session level.
• Analyst sentiment remains positive overall, with a consensus “Moderate Buy” rating and a $496.90 average price target, although Barclays downgraded the stock to “reduce.”
• Dell reported strong quarterly results, including $4.86 adjusted EPS versus a $2.96 estimate and 87.5% year-over-year revenue growth; however, insiders sold about $1.45 billion of stock over the past three months.

Dell Technologies Inc. (NYSE:DELL - Get Free Report)'s share price was down 2.1% during trading on Monday . The stock traded as low as $424.00 and last traded at $432.5850. 4,332,133 shares changed hands during mid-day trading, a decline of 47% from the average session volume of 8,168,139 shares. The stock had previously closed at $442.08.

Wall Street Analyst Weigh In

DELL has been the subject of several recent research reports. Barclays downgraded Dell Technologies from an "overweight" rating to a "reduce" rating in a research note on Friday, May 29th. Truist Financial boosted their target price on shares of Dell Technologies from $170.00 to $360.00 and gave the stock a "hold" rating in a report on Friday, May 29th. Wall Street Zen upgraded shares of Dell Technologies from a "buy" rating to a "strong-buy" rating in a research report on Saturday, May 30th. Citigroup raised their price target on shares of Dell Technologies from $475.00 to $515.00 and gave the company a "buy" rating in a research note on Friday, July 24th. Finally, Melius Research set a $565.00 price objective on shares of Dell Technologies in a research note on Friday, May 29th. One research analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Dell Technologies currently has a consensus rating of "Moderate Buy" and a consensus price target of $496.90.

Dell Technologies Stock Down 2.1%

The stock has a market capitalization of $280.36 billion, a price-to-earnings ratio of 34.36, a price-to-earnings-growth ratio of 0.92 and a beta of 1.33. The company has a 50 day simple moving average of $428.31 and a 200-day simple moving average of $285.70.

Dell Technologies (NYSE:DELL - Get Free Report) last announced its quarterly earnings data on Thursday, May 28th. The technology company reported $4.86 EPS for the quarter, topping the consensus estimate of $2.96 by $1.90. Dell Technologies had a net margin of 6.28% and a negative return on equity of 366.90%. The company had revenue of $43.84 billion during the quarter, compared to the consensus estimate of $35.74 billion. During the same quarter last year, the firm posted $1.55 EPS. The company's quarterly revenue was up 87.5% on a year-over-year basis. 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, sell-side analysts anticipate that Dell Technologies Inc. will post 18.17 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, July 31st. Stockholders of record on Tuesday, July 21st were issued a dividend of $0.63 per share. The ex-dividend date was Tuesday, July 21st. This represents a $2.52 annualized dividend and a dividend yield of 0.6%. Dell Technologies's dividend payout ratio is currently 20.02%.

Insider Transactions at Dell Technologies

In other news, Director Spv-2 L.P. Sl sold 175,901 shares of the firm's stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $457.99, for a total value of $80,560,898.99. Following the completion of the sale, the director directly owned 36,659 shares in the company, valued at $16,789,455.41. This trade represents a 82.75% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Silver Lake Partners Iv, L.P. sold 189,805 shares of the business's stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $457.99, for a total value of $86,928,791.95. Following the completion of the sale, the director directly owned 24,287 shares of the company's stock, valued at $11,123,203.13. The trade was a 88.66% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 3,434,758 shares of company stock worth $1,448,870,683 in the last three months. Insiders own 41.50% of the company's stock.

Institutional Trading of Dell Technologies

Several hedge funds have recently bought and sold shares of the business. Brighton Jones LLC grew its holdings in shares of Dell Technologies by 42.7% during the fourth quarter. Brighton Jones LLC now owns 3,011 shares of the technology company's stock valued at $347,000 after buying an additional 901 shares during the last quarter. Sivia Capital Partners LLC bought a new position in Dell Technologies in the 2nd quarter valued at about $328,000. Marshall Wace LLP acquired a new position in Dell Technologies during the 2nd quarter valued at about $809,000. Gamco Investors INC. ET AL boosted its stake in Dell Technologies by 30.2% during the 2nd quarter. Gamco Investors INC. ET AL now owns 6,680 shares of the technology company's stock valued at $819,000 after purchasing an additional 1,550 shares during the last quarter. Finally, NewEdge Advisors LLC increased its holdings in Dell Technologies by 147.2% during the 2nd quarter. NewEdge Advisors LLC now owns 58,009 shares of the technology company's stock worth $7,112,000 after purchasing an additional 34,538 shares in the last quarter. Institutional investors and hedge funds own 76.37% of the company's stock.

About Dell Technologies

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.

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