So here's a fun Monday morning rumor to kick off your week: Dell Technologies Inc. (DELL) shares are jumping because the market is buzzing with whispers that Nvidia Corp (NVDA) might be looking to buy a very, very big PC company.

The Nasdaq was up 0.28% and the S&P 500 gained 0.18%, but Dell was the star of the show, rising more than 6% on the speculation.

The Big, Secret Negotiation

According to a report from SemiAccurate, Nvidia is in secret negotiations to buy a large-scale PC and server manufacturer. These talks have allegedly been going on for over a year. The report claims the potential deal could fundamentally change the global server market and reshape the PC landscape.

Now, the report didn't actually name a specific target. But when you hear "large-scale PC and server manufacturer," your mind probably goes to a couple of obvious names. Traders certainly did, with bets landing on Dell and HP Inc (HPQ).

Dell, HP, and Nvidia did not immediately respond to a request for comment from MarketDash.

Is This Report Credible?

SemiAccurate says it has been following this story since late 2024. The publication also previously broke news regarding Elon Musk's interest in Intel Corp (INTC), which adds a bit of track record to the mix. It's still a rumor, but it's a rumor with some legs.

Meanwhile, Analysts Like Dell's AI Story

Separate from the takeover chatter, BofA Securities analyst Wamsi Mohan reiterated a Buy rating on Dell last Wednesday, raising the price target to $205.

Following a meeting with CEO Michael Dell, Mohan noted the company is "executing from a position of strength" regarding AI infrastructure. He highlighted Dell's scale and deep supplier relationships as key advantages for securing supply through fiscal 2027. So, with or without a takeover, there's a bullish case being made for the business.

What the Charts Say About Dell

Let's look at the tape. Dell is currently showing strong bullish momentum, trading well above its 20-day, 50-day, and 100-day simple moving averages. That's a solid uptrend.

The Relative Strength Index (RSI) is at 62.14, which is in neutral territory but creeping toward overbought levels. The Moving Average Convergence Divergence (MACD) is below its signal line, indicating some short-term bearish pressure that traders are watching.

A key technical support level sits at $155.50. The stock also saw a golden cross in March, where the 50-day SMA crossed above the 200-day SMA—a classic bullish signal that often attracts more buyers.

Perhaps most impressively, Dell's stock has surged 120.38% over the past 12 months. That's not just a rumor-driven pop; it's a established long-term trend.

Dell Technologies shares were up 6.26% at $188.93 at the time of publication on Monday, according to market data.