Dell Technologies shares skyrocketed nearly 40% in premarket trading Friday following an unprecedented surge in demand for its Nvidia-powered artificial intelligence infrastructure.
Massive data center investments from corporate giants like Alphabet and Amazon heavily fueled Dell’s record-breaking fiscal performance alongside improved global supply chain management.
Management significantly raised its full-year revenue forecast to a range between $165 billion and $169 billion, up from prior estimates.
The Texas-based tech giant also increased its fiscal 2027 AI server revenue projections to $60 billion, a substantial leap from the previous $50 billion target.
Following the blockbuster results, at least three major brokerages raised their price targets, while nineteen analysts currently maintain a clear “Buy” rating.
Morgan Stanley market experts labeled the performance one of the most impressive hardware quarters in recent history amid shifting global tech dynamics.
The stellar results reflect a broader industry-wide transition where tech enterprises redirect capital spending away from software and straight into hardware infrastructure.
Dell’s explosive growth also triggered a wider tech rally, lifting shares of rival server manufacturers Super Micro Computer and Hewlett Packard Enterprise.
First-quarter revenues surged 88% to $43.84 billion, heavily outpacing the consensus Wall Street estimate of $35.43 billion.
