Dell Technologies (NYSE:DELL) Stock Price Down 10.9% – Here’s Why

Dell Technologies Inc. (NYSE:DELL)’s stock price fell 10.9% during trading on Friday. The company traded as low as $413.00 and last traded at $423.63. Approximately 10,452,120 shares were traded during mid-day trading, an increase of 27% from the average session volume of 8,202,253 shares. The stock had previously closed at $475.51.

Key Headlines Impacting Dell Technologies

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

• Positive Sentiment: Dell’s AI infrastructure business remains a key long-term support. Recent coverage highlighted accelerating storage growth, a reported $95 billion backlog and rising earnings estimates, while expanded AI security and cyber-resilience capabilities could strengthen its position against Cisco and Hewlett Packard Enterprise. Everpure vs. Dell: Which Data Storage Stock Is the Better Buy Now? DELL Expands AI Security Capabilities
• Neutral Sentiment: One report characterized Dell as a founder-led technology company with potential for continued innovation and global growth, but it does not introduce a new catalyst for the current session. Founder-Led Giants Redefining Technology and Global Market Growth
• Neutral Sentiment: A filing-related report said an account associated with Donald Trump sold as much as $1 million of Dell stock, despite his public comments encouraging purchases. The transaction may attract attention but is small relative to Dell’s market value and does not change the company’s fundamentals. Trump Filing Reveals Dell Stock Sale
• Negative Sentiment: Intel warned that memory shortages are constraining PC demand and that weakness could persist, hurting computer and server manufacturers. Dell fell alongside HP, Hewlett Packard Enterprise and Super Micro as investors priced in slower hardware demand and potential supply-cost pressure. Dell Sinks as Intel Warning Hits Hardware Stocks
• Negative Sentiment: Intel’s weak fourth-quarter outlook, margin pressure and roughly 25% share-price reset reinforced concerns about a prolonged PC downturn. The read-through is negative for Dell’s traditional PC business, even though AI servers may continue to grow. Silicon Shock: Intel’s Valuation Reset
• Negative Sentiment: Investors are also questioning whether Dell’s rally has outpaced its fundamentals, citing sharply weaker cash flow and negative shareholders’ equity. Those concerns increase sensitivity to any slowdown in AI or broader hardware demand. The Next AI Stock to Break Out May Not Be on Most Investors’ Radar

Analysts Set New Price Targets

Several brokerages recently issued reports on DELL. Melius Research upped their price target on Dell Technologies from $650.00 to $735.00 and gave the stock a “buy” rating in a report on Wednesday, September 2nd. KeyCorp reiterated a “sector weight” rating on shares of Dell Technologies in a report on Wednesday, September 2nd. US Capital Advisors set a $625.00 price target on Dell Technologies in a research note on Wednesday, September 2nd. Evercore reissued an “outperform” rating and issued a $650.00 target price on shares of Dell Technologies in a research report on Wednesday, September 9th. Finally, Susquehanna reiterated a “positive” rating on shares of Dell Technologies in a research note on Tuesday, September 29th. One 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’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $569.96.

Dell Technologies Stock Down 10.9%

The firm has a market cap of $269.35 billion, a P/E ratio of 24.59, a P/E/G ratio of 0.51 and a beta of 1.37. The company’s 50 day simple moving average is $513.95 and its 200-day simple moving average is $328.78.

Dell Technologies (NYSE:DELL) last released its quarterly earnings data on Tuesday, September 1st. The technology company reported $7.04 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.91 by $2.13. The company had revenue of $46.97 billion during 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%. The firm’s quarterly revenue was up 57.7% on a year-over-year basis. During the same period in the previous year, the company earned $1.70 EPS. 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 research analysts predict that Dell Technologies Inc. will post 25.13 EPS for the current year.

Dell Technologies Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Shareholders of record on Tuesday, October 20th will be given a dividend of $0.63 per share. This represents a $2.52 annualized dividend and a dividend yield of 0.6%. The ex-dividend date of this dividend is Tuesday, October 20th. Dell Technologies’s dividend payout ratio is presently 14.63%.

Insider Activity

In other Dell Technologies news, Director Silver Lake Partners Iv, L.P. sold 91,191 shares of the stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $517.34, for a total value of $47,176,751.94. Following the completion of the sale, the director directly owned 64,209 shares in the company, valued at approximately $33,217,884.06. This trade represents a 58.68% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Spv-2 L.P. Sl sold 83,006 shares of the business’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $517.34, for a total transaction of $42,942,324.04. Following the sale, the director directly owned 73,185 shares in the company, valued at approximately $37,861,527.90. This represents a 53.14% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 1,819,650 shares of company stock worth $991,183,596 over the last ninety days. 41.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. Noble Wealth Management PBC lifted its holdings in Dell Technologies by 113.6% in the 3rd quarter. Noble Wealth Management PBC now owns 47 shares of the technology company’s stock valued at $25,000 after purchasing an additional 25 shares in the last quarter. Cornerstone Financial Management LLC raised 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 acquiring an additional 23 shares in the last quarter. Premier Financial Group purchased a new position in Dell Technologies in the second quarter valued at approximately $34,000. Byrne Asset Management LLC purchased a new stake in Dell Technologies in the second quarter valued at approximately $38,000. Finally, Atwood & Palmer Inc. lifted its position in Dell Technologies by 860.0% during the 2nd quarter. Atwood & Palmer Inc. now owns 96 shares of the technology company’s stock worth $41,000 after acquiring an additional 86 shares during the period. Hedge funds and other institutional investors own 76.37% of the company’s stock.

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, peripherals and other end-user devices, as well as servers, storage systems, networking equipment and related infrastructure solutions for businesses, governments and other organizations.

The company also provides consulting, deployment, support, managed and cybersecurity services designed to help customers build and operate their technology environments.