Dell Technologies shares jumped roughly 9% after the company posted record fiscal second-quarter revenue of $47 billion and adjusted earnings of $7.04 per share, blowing past Wall Street's expectations of $44.92 billion in revenue and $4.92 in adjusted earnings.
AI Servers Keep Driving Growth
The company's Infrastructure Solutions Group, which sells the servers, storage and networking hardware that power AI workloads, generated $31.78 billion in revenue, up 89% from a year earlier, with AI-optimized servers alone accounting for $16.4 billion of that total. Traditional servers and networking gear also jumped 122%, which executives attributed to enterprises needing extra conventional computing capacity to support their AI systems.
Guidance Raised Again
Dell lifted its full-year revenue forecast to roughly $192 billion, up from about $167 billion projected back in May, and now expects $74 billion in AI server sales for the year, more than triple the growth rate it had forecast just six months ago. Full-year adjusted earnings guidance was raised to $25.50 per share, well above the $18.92 analysts had penciled in.
A Blockbuster Year For The Stock
Dell shares have more than tripled so far in 2026, far outpacing the broader market, as investors continue to treat the company as one of the clearest ways to bet on continued enterprise investment in AI infrastructure. Chief Financial Officer David Kennedy pointed to the company's ability to manage its supply chain and pricing as key drivers behind the record quarter.
Not Every Segment Is Booming
The traditional PC business that gave Dell its name grew a more modest 20% and came in below internal expectations, with executives saying the company shifted components toward its faster-growing infrastructure business instead. Even so, analysts said the results show enterprise AI spending is moving well beyond early experimentation and into a broader, sustained hardware upgrade cycle.