Silver Lake Partners IV, L.P. (Durban Egon) sold $1.0M of DELL

Microsoft urged companies to include PC refreshes in AI budgets, citing rising memory costs and the need for local AI workloads. The company aims to position Windows as a platform for AI models. Microsoft's Windows division reported a 22% revenue decline in Q1 2027. IDC data showed a 20.1% drop in global PC shipments in Q3. Dell CFO David Kennedy noted delayed PC upgrades due to budget shifts toward infrastructure.

Super Micro Computer (SMCI) fell 7% after Intel (INTC) warned of memory shortages impacting PC demand. SMCI's September-quarter gross margin is expected at 12.0%-12.5%, above its forecast. Analysts anticipate a 10.2% gross margin for fiscal 2027. SMCI reports Q1 results on Nov. 3, with margin outlook being key. Dell (DELL) and other hardware stocks also declined.

Super Micro Computer (SMCI) shares rose 4% ahead of earnings, reporting preliminary Q1 revenue of $18.5B-$19.5B, above prior guidance. The company announced a partnership with SambaNova to build inference racks. HPE and Dell also gained, up 6% and 5% respectively. Super Micro faces margin pressures and legal scrutiny over export controls.

Dell Technologies (DELL) shares rose 4.6% after a 17% two-day decline, driven by Super Micro Computer's raised revenue guidance and a new AI security partnership with CrowdStrike and NVIDIA. The broader market showed modest gains, with tech and AI infrastructure stocks recovering. Investors await Dell's fiscal Q3 2027 earnings on November 24.

Dell shares fell 11% on Oct 30 after Intel warned memory shortages are slowing PC demand. Analyst Dan Niles noted Dell's inventory tripled year-over-year, suggesting chip supply is closer to demand than expected. Dell's inventory was $21.3B, with most being unassembled parts. Intel expects global PC shipments to fall 12% this year and 10% in 2027. Niles' analysis implies current chip pricing may not last as long as anticipated.

Dell Technologies (DELL) fell 10.77% to $424.30 after Intel (INTC) warned of shrinking PC market due to memory price drops. Intel forecasts PC units to fall 12% in 2026 and 10% in 2027. Dell's PC segment contributed 19% of its operating income last quarter. HP Inc. (HPQ) also declined. Dell's stock is 27.89% below its September 17 record high.