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Presidents aren't supposed to pick winners, per White House ethics lawyer. Trump keeps choosing Dell
Fortune • • business
Key Points:
- Former President Trump publicly praised Dell multiple times in 2024, coinciding with significant same-day gains in Dell's stock price and substantial increases in Michael Dell's paper wealth.
- Industry analyst Patrick Moorhead argues Dell's recent stock surge is driven primarily by its strong AI server sales to hyperscalers, not Trump's endorsements, which mainly influence retail investors rather than institutional ones.
- Former White House ethics lawyer Richard Painter criticized Trump's public endorsements of Dell as unethical, emphasizing that presidents should not endorse specific companies due to potential conflicts of interest and insider knowledge.
- Dell's relationship with U.S. presidents predates Trump, with Michael Dell having advised previous administrations on technology and policy, highlighting a longstanding strategy of maintaining political access.
- The White House defended Trump's praise as recognition of the Dells' philanthropic contributions to Trump Accounts, a program supporting working-class families, while Dell did not comment on the stock and ethics controversy.
