Dell Shares Jump 40% After Fiscal 2027 Revenue Outlook Tops Estimates
MSFT•Dell Technologies forecasts fiscal 2027 revenue of $167 billion, driven by $60 billion in AI server sales, surpassing analysts’ $142.1 billion estimate. In Q1, sales jumped 88% to $43.8 billion with AI server revenue at $16.1 billion and a $51.3 billion AI order backlog.
1. Revenue and Outlook
Dell Technologies forecasts fiscal year 2027 revenue at roughly $167 billion, driven by an expected $60 billion from AI server sales, topping prior guidance of $140 billion and analysts’ $142.1 billion consensus.
2. First-Quarter Results
In the fiscal first quarter ended May 1, sales soared 88% to $43.8 billion, including $16.1 billion in AI server sales and $8.5 billion in traditional CPU server revenue, comfortably above analysts’ $35.5 billion estimate.
3. Backlog and Profit Strategy
The company ended the quarter with an AI server order backlog of $51.3 billion and delivered non-GAAP profit of $4.86 per share by holding down costs despite rapidly rising memory chip prices.
