Dell Technologies (NYSE:DELL) Upgraded to "Strong-Buy" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Dell Technologies from “buy” to “strong-buy,” adding to a wave of bullish analyst sentiment. Several other firms also raised ratings or price targets, and the stock’s consensus rating is now “Moderate Buy.”
• Dell posted a huge earnings beat for the quarter, with EPS of $4.86 versus $3.04 expected and revenue of $43.84 billion, up 87.5% year over year. The surge was driven largely by AI server demand.
• Management raised guidance for the year as AI momentum stayed strong, including a record backlog and $24.4 billion in AI orders. The stock has also climbed sharply, recently trading near its 12-month high.

Dell Technologies (NYSE:DELL - Get Free Report) was upgraded by research analysts at Wall Street Zen from a "buy" rating to a "strong-buy" rating in a note issued to investors on Saturday.

Several other equities analysts have also issued reports on DELL. HSBC raised Dell Technologies to a "buy" rating in a research note on Friday. Daiwa Securities Group increased their target price on Dell Technologies from $150.00 to $170.00 and gave the company an "outperform" rating in a research note on Friday, March 6th. Sanford C. Bernstein increased their target price on Dell Technologies from $280.00 to $500.00 and gave the company an "outperform" rating in a research note on Friday. Morgan Stanley raised Dell Technologies from an "underweight" rating to a "buy" rating in a research note on Friday, May 22nd. Finally, Bank of America increased their target price on Dell Technologies from $280.00 to $500.00 and gave the company a "buy" rating in a research note on Friday. One research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $421.00.

Dell Technologies Stock Up 32.8%

Shares of DELL opened at $420.96 on Friday. Dell Technologies has a 12-month low of $106.38 and a 12-month high of $429.15. The firm has a market capitalization of $271.83 billion, a PE ratio of 33.44, a price-to-earnings-growth ratio of 1.16 and a beta of 0.99. The stock's fifty day simple moving average is $216.82 and its 200-day simple moving average is $159.38.

Dell Technologies (NYSE:DELL - Get Free Report) last issued its quarterly earnings results on Thursday, May 28th. The technology company reported $4.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $3.04 by $1.82. Dell Technologies had a negative return on equity of 324.36% and a net margin of 6.28%.The business had revenue of $43.84 billion for the quarter, compared to analyst estimates of $35.74 billion. During the same quarter in the prior year, the firm posted $1.55 earnings per share. The firm'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. Analysts anticipate that Dell Technologies will post 12.21 EPS for the current year.

Insider Transactions at Dell Technologies

In other Dell Technologies news, Director V (Gp) L.L.C. Slta sold 510,000 shares of the business's stock in a transaction dated Wednesday, March 4th. The shares were sold at an average price of $146.83, for a total transaction of $74,883,300.00. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, Director Ellen Jamison Kullman sold 150,346 shares of the stock in a transaction dated Friday, March 6th. The stock was sold at an average price of $145.13, for a total transaction of $21,819,714.98. Following the transaction, the director owned 65,662 shares of the company's stock, valued at approximately $9,529,526.06. This represents a 69.60% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 3,571,688 shares of company stock valued at $576,654,105. 41.50% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of DELL. Vanguard Group Inc. grew its stake in Dell Technologies by 4.5% in the fourth quarter. Vanguard Group Inc. now owns 31,441,451 shares of the technology company's stock valued at $3,957,850,000 after purchasing an additional 1,355,841 shares in the last quarter. State Street Corp grew its stake in Dell Technologies by 1.8% in the fourth quarter. State Street Corp now owns 14,715,998 shares of the technology company's stock valued at $1,852,450,000 after purchasing an additional 265,740 shares in the last quarter. Bank of America Corp DE grew its stake in Dell Technologies by 7.6% in the first quarter. Bank of America Corp DE now owns 14,394,835 shares of the technology company's stock valued at $2,362,624,000 after purchasing an additional 1,011,101 shares in the last quarter. Geode Capital Management LLC grew its stake in Dell Technologies by 1.5% in the fourth quarter. Geode Capital Management LLC now owns 7,478,732 shares of the technology company's stock valued at $939,808,000 after purchasing an additional 108,011 shares in the last quarter. Finally, Invesco Ltd. grew its stake in Dell Technologies by 50.4% in the fourth quarter. Invesco Ltd. now owns 7,301,008 shares of the technology company's stock valued at $919,051,000 after purchasing an additional 2,445,854 shares in the last quarter. 76.37% of the stock is owned by institutional investors and hedge funds.

Key Headlines Impacting Dell Technologies

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

• Positive Sentiment: Dell reported revenue of $43.8 billion, up 88% year over year, and EPS of $4.86, far above Wall Street expectations, signaling a major earnings beat. Dell Technologies Delivers First Quarter Fiscal 2027 Financial Results
• Positive Sentiment: AI server demand was the main catalyst: Dell said AI-optimized server revenue jumped 757% to $16.1 billion, with $24.4 billion of AI orders and a record backlog, showing demand remains very strong. Reuters: Dell raises annual forecasts as AI data center buildout fuels demand
• Positive Sentiment: Management raised full-year guidance to $165 billion-$169 billion in revenue and lifted AI-server revenue expectations, which suggests the growth surge may continue into the next quarters. WSJ: Dell Raises Fiscal Year Outlook After Sales Soar 88%
• Positive Sentiment: Analysts turned more bullish after the report, with multiple firms raising price targets sharply, which can add momentum to the stock. Benzinga: Dell's AI-Fueled Surge May Be Far From Over
• Neutral Sentiment: The Pentagon contract is strategically important and supports Dell’s enterprise/software relationships, but investors appear to be focusing more on the AI-server earnings beat than the contract itself. CNBC: Dell wins a $9.7 billion Pentagon software deal

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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