Dell Technologies

Dell is returning substantial capital while investing behind AI infrastructure. In FY25, management increased the repurchase authorization by 10 billion dollars and lifted the dividend 18 percent; in H1 FY26 it repurchased about 30 million shares and paid two quarterly dividends at 0.525 dollars per share.

Capex is rising in support of AI and solutions, but remains moderate relative to cash generation. The company also divested Secureworks in Q1 FY26 for cash proceeds, simplifying the portfolio. We view capital allocation as shareholder-friendly, provided buybacks are disciplined against intrinsic value.