Dell Reports Strong Q2 Earnings and Raises Full-Year Guidance Amid AI Demand Surge
Shares of Dell Technologies (NYSE: DELL) rose nearly 15% last week after the company reported a significant increase in revenue and profit, driven by strong demand for artificial intelligence infrastructure. In its fiscal second quarter ending July 31, 2026, Dell's revenue surged to $47 billion — up 58% year-over-year — with AI-optimized server sales doubling to $16.4 billion. The company also saw a 122% increase in traditional server and networking division revenue due to growing demand for CPU-related infrastructure as computing needs shift from model training to agentic workloads. Adjusted operating income rose by 160%, net income increased by 189%, and adjusted earnings per share jumped 203%. These results prompted Dell to raise its full-year guidance, now expecting revenue of $192 billion — a 69% increase — and adjusted earnings of $25.50 per share. Dell's stock currently trades at about 20 times projected profits, making it an attractive buy according to analysts.
Tickers: $DELL
Topics: AI infrastructure guidance update profit growth server sales