Dell Technologies (NYSE:DELL) Shares Down 4.4% on Insider Selling

Key Points

• Dell shares fell 4.4% to about $550 after several insiders sold stock, including CFO David Kennedy’s $14.0 million sale, General Counsel Richard Rothberg’s $2.3 million sale and a $15.6 million sale by a Silver Lake-affiliated director.
• Despite the selling, analysts remain broadly positive, with a consensus “Moderate Buy” rating and an average price target of $560.72; however, some caution that the stock’s rapid gains and elevated AI expectations could leave it vulnerable to a correction.
• Dell’s fundamentals remain strong, driven by AI infrastructure demand: quarterly revenue rose 57.7% year over year to $46.97 billion, while EPS of $7.04 substantially exceeded the $4.91 consensus estimate.

Dell Technologies Inc. (NYSE:DELL - Get Free Report)'s share price traded down 4.4% during trading on Tuesday after an insider sold shares in the company. The stock traded as low as $547.71 and last traded at $550.0050. Approximately 9,582,713 shares traded hands during mid-day trading, an increase of 13% from the average session volume of 8,445,799 shares. The stock had previously closed at $575.31.

Specifically, General Counsel Richard Rothberg sold 4,000 shares of the business's stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $583.36, for a total transaction of $2,333,440.00. Following the transaction, the general counsel owned 132,415 shares in the company, valued at approximately $77,245,614.40. The trade was a 2.93% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CFO David Kennedy sold 23,896 shares of the company's stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $585.02, for a total transaction of $13,979,637.92. Following the completion of the sale, the chief financial officer directly owned 159,201 shares in the company, valued at approximately $93,135,769.02. The trade was a 13.05% decrease in their position. The disclosure for this sale is available in the SEC filing. In other Dell Technologies news, Director Silver Lake Partners V. De (Aiv sold 26,553 shares of the business's stock in a transaction dated Thursday, September 17th. The stock was sold at an average price of $585.91, for a total transaction of $15,557,668.23. Following the completion of the sale, the director directly owned 59,331 shares of the company's stock, valued at approximately $34,762,626.21. The trade was a 30.92% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on DELL. Weiss Ratings reissued a "buy (b)" rating on shares of Dell Technologies in a research report on Wednesday, August 12th. Citigroup raised their price objective on shares of Dell Technologies from $515.00 to $600.00 and gave the stock a "buy" rating in a research report on Wednesday, September 2nd. Royal Bank Of Canada began coverage on shares of Dell Technologies in a report on Thursday, September 10th. They issued an "outperform" rating and a $640.00 price objective for the company. Guggenheim upgraded shares of Dell Technologies to a "buy" rating in a research report on Monday, June 1st. Finally, HSBC raised shares of Dell Technologies to a "buy" rating in a research note on Friday, May 29th. One equities research analyst has rated the stock with a Strong Buy rating, twenty-six have assigned a Buy rating and nine have given a Hold rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $560.72.

Key Dell Technologies News

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

• Positive Sentiment: AI infrastructure remains Dell’s main catalyst. The company reportedly serves more than 6,500 AI customers, with enterprise, sovereign-AI and neocloud demand contributing to record orders and an approximately $95 billion backlog. Dell Rides on Growing AI Clientele
• Positive Sentiment: Morgan Stanley said Dell is well positioned for growth in on-premises AI deployments, supporting the view that its servers, storage and networking products will benefit from the data-center buildout. A recent earnings report also showed revenue growth of 57.7% year over year and earnings well above consensus. Dell Best Positioned for On-Premises AI Growth
• Positive Sentiment: Dell joined the S&P 100, which may increase institutional visibility. The company also launched the XPS Googlebook, a premium Snapdragon X Elite laptop designed around Google Gemini Intelligence, extending its AI-focused product strategy. Dell Introduces XPS Googlebook
• Neutral Sentiment: Analysts and commentators remain divided. Some view Dell’s valuation as reasonable for a major AI beneficiary, while others question whether further gains are possible after the stock more than quadrupled in 2026 and reached a fresh 52-week high. Dell Stock and AI Data Center Buildout
• Negative Sentiment: Several insiders sold shares near $582–$586, including the CFO, general counsel and Silver Lake-affiliated directors. The transactions totaled tens of millions of dollars and reduced some holdings substantially, potentially weighing on investor sentiment. Dell Technologies Insider Selling
• Negative Sentiment: Morgan Stanley raised its price target to $511 from $499 but maintained an Equalweight rating. The target is below recent trading levels, indicating limited near-term upside in that firm’s view. Morgan Stanley Adjusts Dell Price Target
• Negative Sentiment: A bearish analysis warned that elevated expectations surrounding Dell’s AI opportunity could leave the stock vulnerable to a significant correction, particularly if margins weaken as Dell competes aggressively for market share. Dell Downside Analysis

Dell Technologies Trading Down 4.4%

The stock has a market capitalization of $349.70 billion, a PE ratio of 31.92, a P/E/G ratio of 0.59 and a beta of 1.34. The stock's fifty day simple moving average is $467.48 and its 200-day simple moving average is $342.96.

Dell Technologies (NYSE:DELL - Get Free Report) last announced its quarterly earnings data on Tuesday, September 1st. The technology company reported $7.04 EPS for the quarter, topping the consensus estimate of $4.91 by $2.13. The business had revenue of $46.97 billion for the quarter, compared to analyst estimates of $44.89 billion. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. The company's revenue for the quarter was up 57.7% on a year-over-year basis. During the same quarter in the previous year, the firm 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. As a group, analysts anticipate that Dell Technologies Inc. will post 25.14 earnings per share for the current fiscal year.

Dell Technologies Announces Dividend

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

Hedge Funds Weigh In On Dell Technologies

A number of large investors have recently modified their holdings of the company. Norges Bank bought a new stake in shares of Dell Technologies in the 4th quarter valued at approximately $607,349,000. Wellington Management Group LLP boosted its stake in Dell Technologies by 140.1% in the 2nd quarter. Wellington Management Group LLP now owns 2,526,987 shares of the technology company's stock valued at $1,090,294,000 after buying an additional 1,474,347 shares in the last quarter. Deutsche Bank AG grew its position in Dell Technologies by 24.6% in the fourth quarter. Deutsche Bank AG now owns 5,517,070 shares of the technology company's stock valued at $694,489,000 after acquiring an additional 1,090,336 shares during the period. Bank of America Corp DE raised its stake in Dell Technologies by 7.6% during the first quarter. Bank of America Corp DE now owns 14,394,835 shares of the technology company's stock worth $2,362,624,000 after acquiring an additional 1,011,101 shares in the last quarter. Finally, Auto Owners Insurance Co lifted its holdings in shares of Dell Technologies by 12,488.0% during the fourth quarter. Auto Owners Insurance Co now owns 522,024 shares of the technology company's stock valued at $6,571,000 after acquiring an additional 517,877 shares during the period. 76.37% of the stock is owned by hedge funds and other institutional investors.

Dell Technologies Company Profile

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, displays, peripherals and related accessories marketed primarily under the Dell brand.

The company also provides enterprise infrastructure solutions, including servers, storage systems, networking equipment, data protection, cybersecurity and cloud-related technologies. Dell Technologies supports organizations with consulting, deployment, managed and support services designed to help them operate data centers, hybrid cloud environments and modern workplace technology.

Michael Dell founded the company in 1984 and serves as its chairman and chief executive officer.

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