Dell Technologies (NYSE:DELL) Trading Up 32.8% After Strong Earnings

Dell Technologies Inc. (NYSE:DELL) shares were up 32.8% on Friday following a better than expected earnings announcement. The company traded as high as $429.15 and last traded at $420.9560. Approximately 41,508,068 shares were traded during mid-day trading, an increase of 388% from the average daily volume of 8,497,379 shares. The stock had previously closed at $317.05.

The technology company reported $4.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.96 by $1.90. The business had revenue of $43.84 billion for the quarter, compared to analyst estimates of $35.74 billion. Dell Technologies had a negative return on equity of 236.90% and a net margin of 5.23%.The firm’s revenue for the quarter was up 87.5% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $1.55 earnings per share. 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.

Dell Technologies News Summary

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

• Positive Sentiment: Dell crushed earnings and revenue expectations, reporting $4.86 adjusted EPS on $43.84 billion in revenue, well above Wall Street estimates, with revenue up 88% year over year. BusinessWire Dell Q1 Results
• Positive Sentiment: AI server demand was the standout driver: Dell said AI-optimized server revenue surged, backlog and orders climbed sharply, and management lifted full-year guidance for both revenue and profit, signaling the AI buildout is still accelerating. Reuters Dell Raises Annual Forecasts
• Positive Sentiment: Wall Street responded with a wave of bullish analyst action, including multiple price-target hikes from firms such as Wells Fargo, JPMorgan, Citi, Raymond James, and Loop Capital, reinforcing the view that Dell still has upside after the rally. Benzinga Analyst Optimism
• Positive Sentiment: Dell also won a $9.7 billion Pentagon software contract, adding another catalyst and boosting sentiment ahead of earnings by highlighting sticky enterprise and government demand. CNBC Pentagon Deal
• Neutral Sentiment: The stock’s surge is also lifting other AI/server names such as Super Micro Computer, Hewlett Packard Enterprise, and NetApp, showing investors are broadly rotating into infrastructure plays tied to AI spending. MarketWatch Server Makers
• Negative Sentiment: Some commentary noted supply-chain and memory-chip constraints could limit how fast Dell can fulfill booming demand, which may temper expectations if component shortages persist. Benzinga Supply Constraints

Analyst Upgrades and Downgrades

Several equities research analysts have recently commented on DELL shares. The Goldman Sachs Group lifted their price target on shares of Dell Technologies from $215.00 to $230.00 in a research report on Thursday, April 30th. Loop Capital increased their price objective on shares of Dell Technologies from $150.00 to $550.00 and gave the company a “buy” rating in a report on Friday. Truist Financial raised their price objective on shares of Dell Technologies from $170.00 to $360.00 and gave the company a “hold” rating in a research note on Friday. Wells Fargo & Company upped their target price on shares of Dell Technologies from $270.00 to $505.00 and gave the company an “overweight” rating in a research report on Friday. Finally, Piper Sandler increased their price target on Dell Technologies from $167.00 to $497.00 and gave the company an “overweight” rating in a research note on Friday. One equities research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, eight have given a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Dell Technologies has a consensus rating of “Moderate Buy” and an average target price of $421.00.

Insider Buying and Selling

In related news, COO Jeffrey W. Clarke sold 116,000 shares of the company’s stock in a transaction on Wednesday, April 15th. The shares were sold at an average price of $182.48, for a total value of $21,167,680.00. Following the completion of the sale, the chief operating officer owned 1,687,414 shares in the company, valued at $307,919,306.72. This represents a 6.43% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO David Alan Kennedy sold 19,500 shares of Dell Technologies stock in a transaction dated Thursday, April 9th. The stock was sold at an average price of $182.53, for a total value of $3,559,335.00. Following the transaction, the chief financial officer owned 183,097 shares in the company, valued at approximately $33,420,695.41. This represents a 9.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 3,571,688 shares of company stock valued at $576,654,105. 41.50% of the stock is owned by company insiders.

Institutional Investors Weigh In On Dell Technologies

Hedge funds have recently modified their holdings of the business. Commonwealth Retirement Investments LLC acquired a new position in shares of Dell Technologies in the 4th quarter valued at approximately $25,000. Rossby Financial LCC raised its holdings in Dell Technologies by 968.4% during the 4th quarter. Rossby Financial LCC now owns 203 shares of the technology company’s stock worth $26,000 after buying an additional 184 shares during the period. Navalign LLC bought a new position in Dell Technologies in the fourth quarter valued at approximately $29,000. Kemnay Advisory Services Inc. bought a new stake in shares of Dell Technologies during the fourth quarter worth $29,000. Finally, WealthCollab LLC raised its holdings in shares of Dell Technologies by 82.0% during the second quarter. WealthCollab LLC now owns 253 shares of the technology company’s stock worth $31,000 after acquiring an additional 114 shares during the period. Institutional investors and hedge funds own 76.37% of the company’s stock.

Dell Technologies Stock Performance

The firm has a market capitalization of $271.83 billion, a P/E ratio of 48.27, a PEG ratio of 1.12 and a beta of 0.99. The firm’s 50-day moving average is $211.39 and its 200 day moving average is $157.54.

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.