Why Dell Stock Surged Today

MrDecoder · 2026-02-28T05:03:10+00:00

Dell Technologies' shares surged 21% after reporting a 39% revenue increase in fiscal Q4, driven by a 342% rise in AI-optimized server sales. The company expects continued growth, forecasting $140 billion in revenue for fiscal 2027 and boosting its dividend.

MrDecoder

2026-02-28 05:03:10

Abstract generation in progress

Shares of** Dell Technologies **(DELL +21.85%) popped on Friday after the tech giant highlighted the soaring growth of its artificial intelligence (AI)-focused businesses.

By the close of trading, Dell’s stock price was up more than 21%.

Image source: Getty Images.

AI-powered gains

Dell’s revenue rose 39% year over year to $33.4 billion in its fiscal 2026 fourth quarter, which ended on Jan. 30.

The personal computer (PC) maker is enjoying booming demand for its AI infrastructure. Sales of Dell’s AI-optimized servers soared 342% to $9 billion.

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NYSE: DELL

Dell Technologies

Today’s Change

(21.85%) $26.54

Current Price

$147.99

Key Data Points

Market Cap

$80B

Day’s Range

$136.11 - $148.85

52wk Range

$66.25 - $168.08

Volume

1.7M

Avg Vol

6.8M

Gross Margin

20.68%

Dividend Yield

1.73%

“The AI opportunity is transforming our company,” chief operating officer Jeff Clarke said in a press release.

All told, Dell’s adjusted net income climbed 36% to $2.6 billion. Its adjusted earnings per share, boosted by stock buybacks, increased 45% to $3.89.

A bullish forecast and a dividend hike

Dell guided for full-year revenue to grow by 23% to approximately $140 billion in fiscal 2027. The company expects sales of its AI-optimized servers to more than double to $50 billion. Management also sees adjusted earnings increasing by 25% to $12.90 per share.

This optimistic outlook prompted Dell to boost its cash dividend by 20% to $2.52.

“We closed more than $64 billion in AI-optimized server orders, shipped more than $25 billion throughout the year, and are entering FY27 with a record backlog of $43 billion – powerful proof that our engineering leadership and differentiated AI solutions are winning,” Clarke said.

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