Hewlett Packard Enterprise shares rose 14.04% and later surged 18% following Dell Technologies' record Q1 results, which included $24.4 billion in AI orders. Dell also raised its fiscal 2027 revenue outlook to $165 billion–$169 billion and forecasted $60 billion in AI server revenue, fueling sector momentum.
Dell Technologies posted record Q1 earnings driven by accelerated AI infrastructure demand, booking $24.4 billion in AI orders and raising its fiscal 2027 revenue outlook from $138–142 billion to $165–169 billion. The company also lifted its AI server revenue forecast to $60 billion, underscoring robust enterprise spending on Nvidia-powered systems.
Hewlett Packard Enterprise shares climbed 14.04% immediately after Dell's report and extended gains to an 18% surge by Friday trading, as investors extrapolated Dell's AI capex strength to HPE’s server and data center hardware offerings. The rally placed HPE among the top performers in the AI infrastructure segment alongside Super Micro Computer.
Market participants view the data center spending cycle as broadening beyond chip makers, with networking and server vendors like HPE benefiting from large-scale investments by hyperscale cloud providers. Continued momentum will depend on HPE's execution in scaling AI-optimized hardware and capturing enterprise contract renewals in a competitive landscape.
