Dell Technologies Stock Draws Bull Notes on Earnings Beat

Year-to-date, DELL is already up more than 53%

Digital Content Manager
Nov 24, 2021 at 10:55 AM
facebook twitter linkedin

The shares of Dell Technologies Inc (NYSE:DELL) are up 4.5% to trade at $57.08 at last check, after the tech concern beat Wall Street's third-quarter earnings and revenue estimates. The company cited higher demand for its personal computers and servers as companies move towards a hybrid work model, and also raised its current-quarter forecast.

In response, BofA Global Research and Morgan Stanley raised DELL's price target to $68 from $66 and $67, respectively. Plus. J.P. Morgan Securities raised its objective to $75 from $72. What makes this noteworthy is that analysts were optimistic towards the stock already, with nine of 11 in question calling it a "buy" or better. Plus, the 12-month consensus target price of $75.72 is a 32.8% premium to current levels.

A short squeeze could push the security even higher. Short interest is up a whopping 48.1% in the last two reporting periods, and the 15.34 million shares sold short make up 5.4% of the DELL's available float, or nearly one week's worth of pent-up buying power.

Digging deeper, Dell Technologies stock is fresh off an Oct. 25, all-time high of $58.16. Today's pop is running into resistance from the $57.50 level, which has been keeping a tight lid on the shares since that record peak, though the 50-day moving average is still providing a floor. Year-to-date, DELL has added 53.2%.

The options pits are firmly bullish. This is per the security's 50-day call/put volume ratio of 3.11 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which stands higher than 90% of readings from the past year. Drilling down to today's options activity, 6,756 calls and 2,569 calls have crossed the tape, which is triple the intraday average.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 



Special Offers from Schaeffer's Trading Partners