Dell Technologies shares rose 19% after the company reported stronger-than-expected fourth-quarter results and issued robust long-term guidance, underscoring momentum in artificial intelligence infrastructure.
Dell posted adjusted earnings of $3.89 per share, ahead of analyst estimates of $3.53, on revenue of $33.38 billion. Both figures exceeded market expectations. The company projected fiscal 2027 revenue between $138 billion and $142 billion, significantly above the $124.7 billion consensus forecast.
A key driver is demand for AI-optimized servers, as a global memory shortage tightens supply and supports pricing. Dell expects AI server revenue to reach $50 billion in fiscal 2027, more than double the prior year.
The outlook positions Dell as a central supplier in the AI compute buildout, benefiting from enterprise and hyperscale investment in data center infrastructure to support generative AI workloads.
