Dell (DELL) Stock Surges After Crushing Revenue Expectations

Dell Technologies reported first-quarter revenue of $23.4 billion, surpassing analyst estimates of $23.2 billion with 5% year-over-year growth. The company’s optimistic guidance forecasts Q2 revenue between $28.5 billion and $29.5 billion, significantly higher than the expected $25.3 billion.

AI server demand drove exceptional performance, with orders exceeding $12 billion. Morgan Stanley responded by raising Dell’s price target from $126 to $135 while maintaining an Overweight rating. Despite a 5.6% post-earnings surge, Dell shares remain down 2% year-to-date.

The earnings beat came despite missing EPS expectations—$1.55 actual versus $1.70 forecasted. COO Jeff Clarke noted unprecedented demand for AI infrastructure, positioning Dell as a key beneficiary of enterprise technology spending.