Silver Lake entities sell over $60 million in Dell shares

Silver Lake, a global leader in technology investing, has reported a significant transaction involving shares of Dell Technologies Inc. (NYSE:DELL). According to a recent Form 4 filing with the Securities and Exchange Commission, entities associated with Silver Lake sold Dell shares totaling over $60 million.

The transactions, which took place on March 19, 2024, involved the sale of Class C Common Stock at weighted average prices ranging from $107.50 to $108.39. The sales were executed in multiple transactions, with prices varying within the stated ranges.

Entities involved in these transactions include SLTA V (GP), L.L.C., Silver Lake Technology Associates V, L.P., Silver Lake Partners V DE (AIV), L.P., and Silver Lake Technology Investors V, L.P. These entities are associated with Silver Lake\'s various investment funds and partnerships, and the sales were conducted indirectly through these holdings.

The Form 4 filing also noted conversions of Class B Common Stock into Class C Common Stock, which occurred in connection with the sales. This type of conversion is standard practice as Class B shares are convertible into Class C shares at any time at the holder\'s discretion or automatically under certain conditions.

Investors often monitor Form 4 filings to track insider transactions, which can provide insights into the perspectives of company directors, officers, and significant shareholders regarding the stock\'s value.

The reporting persons, including Egon Durban, a director of Dell Technologies and Co-CEO and Managing Member of Silver Lake Group, L.L.C., have filed the report jointly. The filing clarifies that this should not be taken as an admission that the reporting persons collectively own the reported securities for the purposes of Section 16 of the Securities Exchange Act.

The transactions were signed off by Andrew J. Schader, Managing Director and General Counsel of Silver Lake Group, L.L.C., on behalf of the reporting entities. The filing emphasizes that the reported sales represent only a portion of the securities held by the reporting persons and their associated entities.

Pro Insights

As Silver Lake continues to adjust its stake in Dell Technologies Inc. (DELL), investors are keenly observing the company\'s performance metrics and strategic moves. Notably, Dell\'s management has been actively repurchasing shares, demonstrating confidence in the company\'s value and future prospects. This aligns with the aggressive share buyback strategy that is often seen as a positive signal to the market.

Pro data indicates that Dell Technologies currently has a market capitalization of $78.45 billion, with a P/E ratio of 25.08. This valuation metric, while already attractive, becomes even more compelling when considering the adjusted P/E ratio for the last twelve months as of Q4 2024, which stands at 24.43. This suggests that Dell is trading at a low P/E ratio relative to near-term earnings growth, a scenario that value investors might find enticing.

The company has also been recognized for its high shareholder yield, a reflection of its commitment to returning value to its investors. Dell\'s performance in the Technology Hardware, Storage & Peripherals industry remains robust, as it is considered a prominent player in this sector. Moreover, analysts predict the company will be profitable this year, reinforcing the positive sentiment around Dell\'s financial health and market position.

For readers looking to delve deeper into Dell\'s financial landscape, there are additional Pro Tips available that cover a range of metrics from earnings revisions to liquidity concerns. For instance, while some analysts have revised their earnings downwards for the upcoming period, Dell has also been noted for its high return over the last year and strong performance in more recent months.

To access these comprehensive insights and leverage the full suite of Pro analytics, interested readers can utilize the coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription. With 13 more Pro Tips listed on the Dell-specific page (https://www.investing.com/pro/DELL), investors can gain a more nuanced understanding of the company\'s potential and make informed decisions.

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