Dell’s Stock Skyrockets 32% Following Record $16B AI Server Revenue
Dell Technologies delivered an impressive first-quarter performance that sent its stock soaring 32% on Friday, May 29, 2026. This marked the company’s most successful trading day to date. The tech giant reported a record quarterly revenue of $43.8 billion, an increase of 88% year-over-year, significantly surpassing Wall Street’s expectations of approximately $35.5 billion.
The remarkable growth was primarily driven by an unprecedented demand for AI-optimized servers. These servers generated $16.1 billion in revenue, a staggering 757% increase from the previous year. Dell’s adjusted earnings per share were reported at $4.86, far exceeding analyst expectations of $2.94.
The company booked $24.4 billion in AI orders during the quarter. It now projects that AI server revenue will reach approximately $60 billion for the full fiscal year 2027. This is an increase from previous guidance of $50 billion.
“Our record Q1 performance reflects strong in-quarter demand, as well as our pace of innovation across the full stack of PCs, compute and storage,” said Jeff Clarke, Dell’s vice chairman and chief operating officer.
The company has raised its full-year revenue outlook to $167 billion at the midpoint. This represents nearly 50% year-over-year growth. Dell shares have now increased by 234% in 2026. This reflects the company’s transformation from a traditional PC manufacturer into an AI infrastructure powerhouse.
The stock closed at $317.05 on May 28 before surging to over $440 in after-hours trading following the earnings announcement.
Source: CNBC