Dell Technologies (NYSE:DELL) Stock Price Down 5.3% Following Insider Selling

Key Points

• Dell shares fell 5.3% to about $507 after significant insider selling. Silver Lake-affiliated directors sold more than 140,000 shares combined in disclosed transactions worth roughly $73 million.
• Dell’s latest results were strong, with adjusted EPS of $7.04 versus the $4.91 consensus and revenue of $46.97 billion, up 57.7% year over year. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $560.24.
• Despite the sell-off, AI infrastructure demand remains a key growth driver, supported by approximately $60.9 billion in AI-server orders and a roughly $95 billion backlog; investors remain attentive to valuation, profit-taking and insider-selling signals.

Dell Technologies Inc. (NYSE:DELL - Get Free Report)'s stock price dropped 5.3% during trading on Thursday following insider selling activity. The company traded as low as $506.25 and last traded at $507.1320. 5,804,163 shares were traded during mid-day trading, a decline of 30% from the average session volume of 8,344,363 shares. The stock had previously closed at $535.25.

Specifically, Director Spv-2 L.P. Sl sold 49,946 shares of the stock in a transaction that occurred on Friday, September 4th. The stock was sold at an average price of $521.34, for a total transaction of $26,038,847.64. Following the transaction, the director owned 97,315 shares in the company, valued at $50,734,202.10. This trade represents a 33.92% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Silver Lake Partners Iv, L.P. sold 54,734 shares of Dell Technologies stock in a transaction on Friday, September 4th. The shares were sold at an average price of $521.34, for a total transaction of $28,535,023.56. Following the completion of the sale, the director directly owned 85,520 shares in the company, valued at $44,584,996.80. This represents a 39.02% decrease in their position. The SEC filing for this sale provides additional information. In other Dell Technologies news, Director Silver Lake Partners Iv, L.P. sold 37,500 shares of the company's stock in a transaction on Friday, September 4th. The shares were sold at an average price of $520.71, for a total transaction of $19,526,625.00. Following the completion of the transaction, the director directly owned 1,356,628 shares in the company, valued at approximately $706,409,765.88. This represents a 2.69% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

Wall Street Analysts Forecast Growth

DELL has been the topic of several research analyst reports. Weiss Ratings reiterated a "buy (b)" rating on shares of Dell Technologies in a research report on Wednesday, August 12th. Roth Capital began coverage on shares of Dell Technologies in a research report on Friday, May 29th. They set a "buy" rating for the company. Barclays raised their price target on shares of Dell Technologies from $550.00 to $603.00 and gave the company an "overweight" rating in a research note on Wednesday, September 2nd. Susquehanna set a $289.00 price objective on Dell Technologies and gave the stock a "neutral" rating in a report on Friday, May 29th. Finally, Cantor Fitzgerald started coverage on Dell Technologies in a report on Wednesday, September 2nd. They set an "overweight" rating for the company. One equities research 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's stock. According to MarketBeat.com, Dell Technologies currently has a consensus rating of "Moderate Buy" and an average price target of $560.24.

Trending Headlines about Dell Technologies

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

• Positive Sentiment: Dell reported approximately $60.9 billion in AI-server orders and a roughly $95 billion backlog. The figures reinforce expectations that AI infrastructure demand will remain strong, although investors are watching how quickly the backlog converts into revenue and cash flow. Dell AI-server orders and backlog
• Positive Sentiment: Recent quarterly results remain supportive: Dell delivered $7.04 in adjusted earnings per share versus the $4.91 consensus estimate, while revenue reached $46.97 billion, up 57.7% year over year. Analysts have continued to raise price targets and maintain generally bullish ratings. Dell AI-server orders and earnings
• Positive Sentiment: CEO Michael Dell said the structural shortage of AI-driven computing capacity could worsen in 2027, supporting the view that demand may extend beyond the current upgrade cycle. Dell is also positioning itself for enterprise and on-premise AI deployments, not only hyperscale cloud spending. Dell CEO on AI compute shortage
• Neutral Sentiment: Dell plans to raise about $4 billion through a bond offering to refinance debt while supporting its AI-server expansion. The financing may improve flexibility, but investors will monitor interest expense, leverage and returns on infrastructure investment. Dell bond offering
• Negative Sentiment: AI-server stocks are retreating as the recent rally unwinds, with no specific company announcement cited as the catalyst. Dell’s shares have risen more than 300% over the past year, increasing the likelihood of profit-taking and making the stock more sensitive to any disappointment.
• Negative Sentiment: Insiders, including Silver Lake-affiliated directors and Dell’s chief marketing officer, have sold substantial amounts of stock near recent highs. The transactions may reflect diversification, but they add a cautionary signal alongside Dell’s elevated valuation. Dell insider selling

Dell Technologies Stock Down 5.3%

The stock's 50-day moving average price is $445.73 and its 200 day moving average price is $319.04. The firm has a market capitalization of $328.68 billion, a price-to-earnings ratio of 29.43, a PEG ratio of 0.55 and a beta of 1.34.

Dell Technologies (NYSE:DELL - Get Free Report) last posted its quarterly earnings results on Tuesday, September 1st. The technology company reported $7.04 earnings per share for the quarter, topping analysts' consensus estimates of $4.91 by $2.13. Dell Technologies had a net margin of 7.53% and a negative return on equity of 578.85%. The firm had revenue of $46.97 billion for the quarter, compared to analyst estimates of $44.89 billion. During the same period in the previous year, the business posted $1.70 earnings per share. Dell Technologies's quarterly revenue was up 57.7% on a year-over-year basis. 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. On average, sell-side analysts anticipate that Dell Technologies Inc. will post 25.14 earnings per share for the current year.

Dell Technologies Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, October 30th. Stockholders of record on Tuesday, October 20th will be issued a dividend of $0.63 per share. 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 payout ratio is currently 14.63%.

Institutional Investors Weigh In On Dell Technologies

Several hedge funds and other institutional investors have recently made changes to their positions in DELL. Brighton Jones LLC grew its holdings in Dell Technologies by 42.7% in the 4th 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 in the last quarter. Sivia Capital Partners LLC acquired a new position in shares of Dell Technologies during the 2nd quarter valued at about $328,000. Marshall Wace LLP acquired a new stake in Dell Technologies during the second quarter worth about $809,000. Gamco Investors INC. ET AL raised its stake in Dell Technologies by 30.2% during the second quarter. Gamco Investors INC. ET AL now owns 6,680 shares of the technology company's stock worth $819,000 after purchasing an additional 1,550 shares during the period. Finally, NewEdge Advisors LLC boosted its holdings in Dell Technologies by 147.2% in the 2nd quarter. NewEdge Advisors LLC now owns 58,009 shares of the technology company's stock valued at $7,112,000 after purchasing an additional 34,538 shares during the last quarter. Institutional investors and hedge funds own 76.37% of the company's stock.

About Dell Technologies

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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