Dell Shares Surge Nearly 10% After Record AI Server Backlog Reaches $95 Billion and Full-Year Guidance Raised to $192 Billion

Dell Technologies posted a blockbuster fiscal second quarter, sending its shares up nearly 10% on Wednesday as surging AI infrastructure demand drove results far above expectations. The company reported record quarterly revenue of $47 billion, up 58% year over year, with net income rising 189% to $4.6 billion and diluted non-GAAP earnings per share of $7.04, a gain of 203%.

The AI server business was the engine. Dell recognized $16.4 billion in AI-optimized server revenue during the quarter, double the figure from a year ago, while booking a record $60.9 billion in new AI server orders. That pushed its cumulative AI server backlog to a record $95 billion, and the company said its AI customer base has surpassed 6,500. Infrastructure Solutions Group revenue hit a record $31.8 billion, up 89%.

Dell raised its full-year fiscal 2027 revenue guidance to $192 billion on the strength of those results. Multiple Wall Street analysts responded with target price increases: JPMorgan lifted its target to $635, TD Cowen raised to $500, and Truist moved to $505. KeyBanc reiterated a Sector Weight, citing questions about the durability of AI growth. The stock's roughly 10% jump on the day reflected broad analyst confidence in the company's execution amid sustained hyperscaler and enterprise demand for AI infrastructure.