Dell up Nearly 3% Pre-Market on Dividend Initiation

Dell Inc.

is trading higher pre-market followings its announcement to initiate a quarterly dividend or $0.08 per share. The company also reiterated an intent to continue shifting its mix of operating income to Dell-owned enterprise solutions and services that scale vertically and horizontally with customer needs. Brian Gladden, Dell chief financial officer stated: “Our efforts to streamline our operations and shift the mix of our business over the past several years have resulted in sustainably strong cash flow from operations, enabling us to increase the percentage of capital we've allocated to research and development, capital expenditures and acquisitions while maintaining an ongoing share repurchase program. The payment of a quarterly cash dividend to Dell's shareholders adds another element to our disciplined capital allocation strategy.” Dell is currently trading at $12.29, up $0.32 or 2.67% pre-market.