Dell Technologies Hikes Forecast to $169B after 40% Premarket Surge
AMZN•Dell Technologies shares jumped almost 40% premarket after Q1 revenue soared 88% to $43.84 billion versus a $35.43 billion estimate. The company raised its full-year revenue forecast to $165–169 billion and boosted fiscal 2027 AI server revenue guidance to $60 billion.
1. Premarket Rally on Q1 Beat
Dell shares climbed almost 40% in premarket trading after reporting Q1 revenue of $43.84 billion, marking an 88% year-over-year increase and surpassing the $35.43 billion consensus estimate.
2. Raised Full-Year Forecast
Following the strong quarter, Dell raised its fiscal 2026 revenue forecast to a range of $165 billion to $169 billion, up from the prior $138 billion to $142 billion projection, reflecting robust demand across its enterprise infrastructure segment.
3. AI Server Guidance Lift
The company also upped its fiscal 2027 AI server revenue target to approximately $60 billion from $50 billion, driven by accelerating demand for Nvidia-powered systems and ongoing data center investments by major cloud customers.
4. Analyst Reaction and Valuation Impact
At least three brokerages increased their price targets on the stock, with a median target of $236.50, as analysts hailed the quarter as one of the strongest in recent memory for hardware, highlighting supply-chain gains and pricing improvements.
