Dell Technologies (NYSE:DELL) Shares Down 3.5% Following Insider Selling

Key Points

• Dell shares fell 3.5% to about $542.92 after directors sold shares, including more than $1 million each in transactions by Egon Durban and Lynn Vojvodich Radakovich. Silver Lake Partners also sold nearly $4.6 million worth of stock.
• Analysts remain broadly positive, with a “Moderate Buy” consensus and an average price target of $567.12; several firms recently raised targets as high as $640.
• Dell’s AI-server opportunity remains the key growth catalyst, supported by a reported backlog of roughly $95 billion and strong recent results. However, uncertainty over how much of the forecast reflects incremental orders, along with sector-wide profit-taking, has pressured the stock.

Dell Technologies Inc. (NYSE:DELL - Get Free Report)'s share price fell 3.5% during trading on Monday following insider selling activity. The company traded as low as $535.50 and last traded at $542.9230. Approximately 6,604,367 shares were traded during trading, a decline of 22% from the average session volume of 8,430,499 shares. The stock had previously closed at $562.89.

Specifically, Director Egon Durban sold 1,850 shares of the business's stock in a transaction that occurred on Wednesday, September 23rd. The stock was 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 in the company, valued at $770,631,422.40. The trade was a 0.13% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Lynn Vojvodich Radakovich sold 2,022 shares of the stock in a transaction that occurred on Tuesday, September 22nd. The shares were sold at an average price of $565.28, for a total value of $1,142,996.16. Following the completion of the sale, the director directly owned 25,267 shares of the company's stock, valued at approximately $14,282,929.76. This represents a 7.41% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In other Dell Technologies news, Director Silver Lake Partners Iv, L.P. sold 7,994 shares of the business's stock in a transaction on Monday, September 21st. The stock was sold at an average price of $569.77, for a total transaction of $4,554,741.38. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website.

Analysts Set New Price Targets

A number of brokerages have issued reports on DELL. Cantor Fitzgerald started coverage on Dell Technologies in a research note on Wednesday, September 2nd. They issued an "overweight" rating for the company. Raymond James Financial upped their price objective on shares of Dell Technologies from $500.00 to $617.00 and gave the company an "outperform" rating in a report on Wednesday, September 2nd. Mizuho raised their price objective on shares of Dell Technologies from $500.00 to $600.00 and gave the stock an "outperform" rating in a research report on Wednesday, September 2nd. Royal Bank Of Canada started coverage on shares of Dell Technologies in a research note on Thursday, September 10th. They set an "outperform" rating and a $640.00 target price on the stock. Finally, Citigroup boosted their target price on shares of Dell Technologies from $515.00 to $600.00 and gave the company a "buy" rating in a report 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 issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $567.12.

Key Headlines Impacting Dell Technologies

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

• Positive Sentiment: Dell’s AI-server pipeline remains the primary bullish catalyst. Reports cite a potential backlog of approximately $95 billion, while the company has forecast $74 billion in AI-server revenue; the opportunity could support strong growth if orders convert into shipments. Dell's AI Server Backlog Has Ballooned to $95 Billion
• Positive Sentiment: Analysts and market commentators continue to identify Dell as a beneficiary of accelerating AI investment, citing its record backlog, raised fiscal 2027 guidance and relatively capital-light business model compared with data-center operators building their own facilities. ORCL vs. DELL: Which AI Infrastructure Stock Has Better Upside Now?
• Positive Sentiment: Coverage of Dell’s enterprise storage systems highlights its ability to support demanding AI workloads, potentially expanding revenue beyond server hardware through storage, software, security and services. How Dell Builds Storage for Enterprise AI Workloads
• Neutral Sentiment: Dell founder Michael Dell’s rise to the world’s fourth-richest person reflects the substantial increase in his wealth from the AI-driven appreciation of Dell-related holdings, but it does not directly change the company’s fundamentals. Michael Dell Becomes World's Fourth-Richest Person
• Negative Sentiment: AI-server stocks broadly reversed recent gains, with Dell declining alongside Super Micro Computer and Hewlett Packard Enterprise. The sector-wide retreat suggests profit-taking and concerns about stretched valuations rather than a Dell-specific operational setback. AI Server Rally Reverses
• Negative Sentiment: Investors lack visibility into how much of Dell’s AI-server forecast represents incremental orders, and the company has not disclosed additional order details. That uncertainty is weighing on the stock after its strong run. Dell Stock Drops as OpenShell Reaches the Entire AI Factory

Dell Technologies Stock Performance

The business has a 50-day moving average of $478.28 and a 200-day moving average of $354.31. The stock has a market capitalization of $345.20 billion, a price-to-earnings ratio of 31.51, a P/E/G ratio of 0.58 and a beta of 1.34.

Dell Technologies (NYSE:DELL - Get Free Report) last posted its earnings results on Tuesday, September 1st. The technology company reported $7.04 EPS for the quarter, beating analysts' consensus estimates of $4.91 by $2.13. The company had revenue of $46.97 billion for the quarter, compared to analysts' expectations of $44.89 billion. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. Dell Technologies's revenue for the quarter was up 57.7% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.70 earnings per share. 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. Equities analysts predict that Dell Technologies Inc. will post 25.14 earnings per share for the current fiscal year.

Dell Technologies Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 30th. Stockholders of record on Tuesday, October 20th will be issued a $0.63 dividend. This represents a $2.52 annualized dividend and a dividend yield of 0.5%. The ex-dividend date is Tuesday, October 20th. Dell Technologies's dividend payout ratio is currently 14.63%.

Hedge Funds Weigh In On Dell Technologies

Hedge funds have recently made changes to their positions in the stock. Commonwealth Retirement Investments LLC acquired a new position in Dell Technologies during the fourth quarter worth $25,000. Cornerstone Financial Management LLC grew its stake in shares of 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 buying an additional 23 shares in the last quarter. Premier Financial Group purchased a new stake in shares of Dell Technologies in the 2nd quarter valued at $34,000. Portus Wealth Advisors LLC acquired a new position in Dell Technologies during the 1st quarter worth about $35,000. Finally, Byrne Asset Management LLC acquired a new position in Dell Technologies during the 2nd quarter worth about $38,000. Hedge funds and other institutional investors own 76.37% of the company's stock.

Dell Technologies Company Profile

Dell Technologies Inc NYSE: DELL is a global technology company that develops, sells and supports information technology hardware, software and services. Its offerings include personal computers, workstations, monitors, accessories and other client devices, as well as enterprise infrastructure products such as servers, storage systems, networking equipment and data protection solutions.

The company also provides technology consulting, support, managed services and infrastructure solutions designed to help organizations operate data centers, private and hybrid clouds, artificial intelligence workloads and digital workplaces.

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