Dell Technologies shares climbed as much as 10% in premarket trading after the company raised its annual revenue and profit forecasts on strong demand for AI‑optimized servers.
The company raised its annual revenue forecast to $192 billion from $167 billion and lifted adjusted earnings‑per‑share guidance to $25.50 from $17.90, while second‑quarter revenue jumped 58% to $47 billion, topping a Wall Street estimate of $44.92 billion, the company said.
"The AI momentum spoke for itself," said analysts at J.P.Morgan, noting a record $60 billion of orders and a $95 billion backlog.
Dell, the enterprise IT vendor, said its AI‑optimized servers, many built around Nvidia's chips, are being bought by cloud and AI customers including Nscale and CoreWeave to assemble large compute clusters.
The market reaction lifted peers and valuation metrics: shares of Super Micro and Hewlett Packard Enterprise rose too.
Dell's stock throttled back a little to trade 8% higher at the time of publication.
