Dell Technologies sees $59.5 million stock sale by Silver Lake

Dell Technologies Inc. (NYSE:DELL) experienced a significant stock sale by Silver Lake, a major stakeholder, on June 12, 2025. The sale involved a total of 528,187 shares of Dell’s Class C Common Stock at a price of $112.83 per share, amounting to approximately $59.5 million. The stock, currently trading at $113.74, appears slightly undervalued according to InvestingPro Fair Value metrics, with analysts setting price targets ranging from $104 to $155.

The transactions were executed by various Silver Lake entities, including SL SPV-2, L.P., Silver Lake Partners IV, L.P., Silver Lake Partners V DE (AIV), L.P., Silver Lake Technology Investors IV, L.P., and Silver Lake Technology Investors V, L.P. This move follows the conversion of Class B Common Stock to Class C Common Stock by the same entities. Dell, with a market capitalization of $77.14 billion, has demonstrated strong financial health with consistent profitability and robust revenue of $96.7 billion in the last twelve months.

Despite the stock sale, Silver Lake retains a substantial holding in Dell Technologies, reflecting its ongoing investment in the company. The transactions were part of a broader distribution strategy initiated by Silver Lake, as outlined in the filing. For comprehensive insights into Dell’s valuation and growth prospects, including 12 additional exclusive ProTips, visit InvestingPro to access the detailed Pro Research Report.

In other recent news, Dell Technologies Inc. announced a strong influx of AI server orders totaling over $12 billion in the first quarter, with projections to ship approximately $7 billion worth in the following quarter. Despite this, Dell’s earnings before interest and taxes (EBIT) and earnings per share (EPS) for fiscal year 2026 fell short of expectations, prompting a downward revision of the EBIT forecast to a range of $9.1-$9.5 billion. Analysts have responded with varied adjustments to their price targets: TD Cowen raised its target to $125, UBS adjusted its target to $145, while Aletheia Capital and Goldman Sachs maintained their targets at $150 and $130, respectively, all maintaining a Buy or Hold rating. The company’s fiscal year 2026 revenue outlook remains between $101-105 billion, with a slightly increased EPS guidance to $9.15-$9.65, bolstered by aggressive share buybacks. Dell’s performance in its Infrastructure Solutions Group (ISG) was below expectations, with margins at 9.7% due to a mix of traditional server customers and geographic factors. Meanwhile, Dell’s Client Solutions Group (CSG) EBIT met expectations, with positive outlooks supported by deflationary commodity costs. Additionally, Dell’s stock performance has been under scrutiny due to potential risks from government contract reviews, as noted by William Blair, affecting its government segment revenue projections.

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