Dell Technologies Inc (NYSE:DELL) shares are trading lower Tuesday as investors position ahead of the company’s second-quarter results, due after today’s market close.
- Dell Technologies shares are retreating from recent levels. What’s behind DELL decline?
Dell Heads Into Earnings Following Record Q1
Analysts expect Dell to report second-quarter earnings of $4.91 per share on revenue of $44.95 billion, according to Benzinga Pro. Those estimates sit close to the midpoint of Dell’s own guidance, which called for revenue between $44 billion and $45 billion and adjusted earnings around $4.80 per share.
If Dell reaches or exceeds those levels, it would likely extend the momentum from a first quarter that already set multiple company records, reinforcing the idea that demand for Dell’s AI servers and broader compute business remains durable rather than a one-time spike.
A strong beat would also support Dell’s full-year outlook, which already calls for revenue near $167 billion and AI-optimized server revenue around $60 billion, giving investors more confidence that the company can sustain growth at that pace through the rest of the fiscal year.
Dell’s first-quarter results, reported for the period ended in early 2026, included record revenue of $43.8 billion, up 88% year-over-year, along with record earnings per share of $5.24, up 282%, and record adjusted diluted EPS of $4.86, up 214%. The company also generated strong first-quarter operating cash flow of $4.1 billion.
Vice chairman and COO Jeff Clarke tied the quarter’s strength to healthy order activity throughout the period combined with steady product development across Dell’s PC, server and storage lines.
“We booked $24.4 billion in AI orders and recognized $16.1 billion of AI server revenue,” Clarke said.
DELL Shares Are Dropping
DELL Price Action: Dell shares were down 4.48% at $435.57 at the time of publication on Tuesday, according to Benzinga Pro.
Dell is trading 4.8% below its 20-day SMA ($457.73), a sign the near-term trend has cooled after the strong push into the August highs. At the same time, it’s essentially sitting on its 50-day SMA ($434.44), which often acts like a "line in the sand" for trend traders deciding whether a pullback is normal or turning into something deeper.
Momentum is best framed through RSI, which is neutral at 46.91—neither oversold nor overbought—so the chart is more about levels than a stretched momentum extreme.
- Key Resistance: $455.00 — a nearby round-number zone that lines up with the area just under the 20-day averages where rebounds can stall
- Key Support: $424.00 — a nearby floor just below the 50-day area where buyers may try to defend the pullback
Image: Shutterstock
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