Evercore ISI Raises Dell Stock Price Target to $650 Amid AI Server Backlog Growth
Dell Technologies (DELL) is experiencing a transformation driven by its growing role in the artificial intelligence sector. The company reported strong fiscal second-quarter results, with revenue rising 58% year-over-year and adjusted earnings per share increasing by 203%. A key driver of this performance was Dell's $95 billion AI server backlog at quarter-end — more than doubling from three months prior to a record high. Evercore ISI responded by raising its price target for DELL stock to $650, maintaining an 'outperform' rating. The firm highlighted that the next phase of growth will come not just from raw server volume but also enterprise AI adoption and higher-margin services. Analysts noted Dell's supply constraints on memory, flash, and processors as both a challenge and opportunity — protecting pricing power while delaying revenue recognition. The stock closed at $535.25 after reaching an intraday high of $560 following the report. Other major banks like Morgan Stanley, Goldman Sachs, and Citigroup also raised their price targets for Dell in response to its strong performance.
Tickers: $DELL
Topics: AI Servers Earnings Growth Stock Analysis