Dell Technologies Inc. (NYSE:DELL) reported stellar fiscal second-quarter earnings, beating Wall Street expectations backed by record demand for artificial intelligence servers. Tripling AI server demand, a 70% revenue growth outlook, and booming traditional server sales should have invited bullish calls from Wall Street, yet one firm chose to stick with a Hold rating.
On September 2, TD Cowen ******* yst Krish Sankar raised the price target on Dell (NYSE: DELL) to $500.00 (from $450.00) while maintaining a Hold rating. TD Cowen chooses to stay on the sidelines despite calling Dell's results "phenomenal" as the firm remains cautious about how much investors should pay for that growth.
For the fiscal second quarter, revenue for Dell surged 58% year-over-year to a record $46.97 billion, beating expectations of $44.92 billion. Adjusted earnings per share of $7.04 topped the expected $4.92 figure.
Soaring demand for its AI servers helped the company boost its annual revenue forecast by $25 billion and also raise its profit outlook for the second time this year. FY27 revenue outlook was raised to $192 billion from $167 billion, an estimated 69% year-over-year growth.
AI servers did most of the heavy lifting for Dell's growth. The company reported $16.4 billion in AI-optimized server revenue, with AI server outlook now sitting at $74 billion for the year, up 200% year over year.
#servers
On September 2, TD Cowen ******* yst Krish Sankar raised the price target on Dell (NYSE: DELL) to $500.00 (from $450.00) while maintaining a Hold rating. TD Cowen chooses to stay on the sidelines despite calling Dell's results "phenomenal" as the firm remains cautious about how much investors should pay for that growth.
For the fiscal second quarter, revenue for Dell surged 58% year-over-year to a record $46.97 billion, beating expectations of $44.92 billion. Adjusted earnings per share of $7.04 topped the expected $4.92 figure.
Soaring demand for its AI servers helped the company boost its annual revenue forecast by $25 billion and also raise its profit outlook for the second time this year. FY27 revenue outlook was raised to $192 billion from $167 billion, an estimated 69% year-over-year growth.
AI servers did most of the heavy lifting for Dell's growth. The company reported $16.4 billion in AI-optimized server revenue, with AI server outlook now sitting at $74 billion for the year, up 200% year over year.
#servers
2 months ago
