Dell buys $100 million of DellSeptember 8, 2008: 4:49 PM ET
By Scott Moritz
At least Michael Dell sees value in Dell (DELL). The company founder and CEO spent $100 million late last week to acquire 4.7 million shares, according to a Federal filing Monday.
The stock rose 3% in after-hours trading Monday on news of the big insider purchase, as investors saw the move as a bold statement of confidence in the PC maker's prospects amid a widespread tech slowdown.
Shares of Dell had dropped 21% since the company missed Wall Street analysts' profit estimates on August 28. The downturn has tech shops like Texas Instruments (TXN) and Corning (GLW) trading at multi-year lows.
CEO Dell now owns 255.5 million shares or about 13% of the company's stock.