TradingKey – Dell Technologies (NYSE: DELL) dropped 6.80% on Thursday, October 15 to close at $473.39. This was after a 11% drop the day before, for a two-day decline of about 17% after Barclays analyst Tim Long reduced his rating from Overweight to Equal-Weight and cut his target price from $603 to $574.

I think this is more of a valuation reset than an earnings issue. Long-term, Dell’s AI backlog remains strong, but shares are now pricing in a negative view until they prove they can grow that backlog and convert it to revenues quickly.