Dell was more than 8 points higher around 108 on speculation that the company will split its stock now that it's above 100. Cisco is trading around 116 ahead of its earnings report tomorrow and also benefiting from the split talk.
Dan Mathisson, head stock trader with
, said talk of the Dell split "is just the most recent excuse" for traders to drive up the stock. He said that portfolio managers are buying the stock since they want investors to see they have it in their portfolios, while those who already own the stock are holding onto it since it continues to rally.
Mathisson lumps Dell in with
as stocks that represent the blue-chips of the high-tech sector that people continue to buy.
"As long as the bull market continues, they'll continue to motor on," said Mathisson.
Splits have fueled a number of stocks in the past few weeks. Among the high-profile companies announcing splits of late have been
, Microsoft and Intel.