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Silver Lake entities sell Dell shares worth over $260 million

Published 03/22/2024, 07:30 PM
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Silver Lake's various entities have recently completed substantial transactions involving Dell Technologies Inc. (NYSE:DELL) shares, according to the latest SEC filings. The entities, which include SLTA V (GP), L.L.C., Silver Lake Technology Investors V, L.P., Silver Lake Partners V DE (AIV), L.P., and Silver Lake Technology Associates V, L.P., sold shares totaling over $260 million.

The transactions, which took place on March 20 and March 21, 2024, involved the sale of Class C Common Stock at prices ranging from $106.18 to $114.00. These sales represent a significant movement of capital and could be of interest to investors tracking insider activity and the investment strategies of institutional stakeholders.

The sales were part of a broader set of transactions that also included conversions of Class B Common Stock into Class C Common Stock. These conversions were linked to distributions and sales described in the footnotes of the SEC filing and were exempt from reporting under Rule 16a-13 of the Exchange Act.

It's noteworthy that the entities involved are associated with Silver Lake, a global leader in technology investing. The managing members and general partners of these entities have complex relationships, often holding positions across multiple entities within the Silver Lake family. This intricate structure reflects the depth of Silver Lake's investment strategies and its involvement in the technology sector.

The SEC filings provide a detailed account of the transactions, including the number of shares sold, the prices obtained, and the post-transaction ownership stakes. Such disclosures are essential for maintaining transparency in the market and providing investors with the information necessary to make informed decisions.

As these transactions unfold, market participants will likely monitor Silver Lake's moves closely, given their potential impact on Dell Technologies Inc.'s stock and the broader technology investment landscape.

InvestingPro Insights

As we delve into the recent sales of Dell Technologies Inc. (NYSE:DELL) shares by Silver Lake entities, it's essential to consider the company's current financial health and market performance. According to the latest data from InvestingPro, Dell boasts a robust market capitalization of $79.28 billion, underscoring its significant presence in the tech industry. Despite a challenging environment reflected by a -13.56% revenue growth over the last twelve months as of Q4 2024, Dell maintains a strong gross profit margin of 23.6%, indicating its ability to retain earnings relative to sales.

InvestingPro Tips highlight that Dell is trading at a low P/E ratio relative to near-term earnings growth, with an adjusted P/E ratio of 24.3 as of Q4 2024. This suggests that the stock may be undervalued considering its earnings potential. Furthermore, Dell is recognized as a prominent player in the Technology Hardware, Storage & Peripherals industry, which could be a reassuring factor for investors considering the company's sector positioning and competitive advantages.

Investors may also find Dell's price performance noteworthy, with a considerable 207.25% return over the last year, as of the data available. Such a strong return could signify underlying strength in the company's stock and operations. Additionally, the company's dividend yield stands at 1.56%, coupled with an impressive dividend growth of 34.85% over the last twelve months as of Q4 2024, potentially making Dell an attractive option for income-focused investors.

For those seeking a deeper analysis and more InvestingPro Tips on Dell Technologies Inc., including insights into shareholder yield and analysts' earnings revisions, visiting https://www.investing.com/pro/DELL can provide a wealth of information. Currently, there are 12 additional tips available on InvestingPro, and users can apply the coupon code PRONEWS24 to receive an extra 10% off a yearly or biyearly Pro and Pro+ subscription.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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