Dell Technologies Stock Scores Another Record High Before Earnings

Dell Technologies is due to report earnings after the close tomorrow, May 30

Dell Technologies Inc. (NYSE:DELL) is slated to step into the earnings confessional after the close tomorrow, May 30. Ahead of the event, the tech giant is trading at record highs, last seen 2.8% higher at $170.67 and earlier touching a peak of $171.77. Investors’ enthusiasm surrounding artificial intelligence (AI) chips has many semiconductor names soaring in 2024, with DELL boasting a 120.8% year-to-date lead.

Dell Technologies stock has a mostly positive post-earning history, with five of its last eight next-day sessions finishing higher. This includes a 31.6% pop after its March report. This time around, the options pits are pricing in a 15.5% post-earnings swing, regardless of direction, which is higher than the 12% move the stock averaged over the last two years. 

If the security swings higher after earnings, then it will follow a familiar theme. Dell Technologies stock has logged four consecutive sessions with new all-time highs. Setting aside the stellar year-to-date gain, DELL also boasts a more than 256% year-over-year lead, and is set to lock in seventh-straight monthly win — its 10th such gain in the past year. 

DELL Chart May 292024

Before the earnings call, options bulls are taking aim at the chip stock. So far today, 40,000 bullish bets have crossed the tape, which is double the intraday average volume. New positions are opening at the top two most active contracts, the weekly 170-strike call and the June 180 call, respectively.

This denotes a shift in the options pits, as data from the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows the security with a 10-day put/call volume ratio that stands higher than 73% of annual readings. 

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