Dell Lifts FY27 Revenue Outlook by $25B to $192B on AI Server Boom
DELL has more than doubled off its 52-week low of $110.22.
Summary
Dell raised its full-year fiscal 2027 revenue guidance by $25 billion to $192 billion, a 69% year-over-year increase, driven by surging demand for AI-optimized servers. The company now expects AI server revenue of $74 billion, up from a prior forecast of $60 billion. Full-year EPS guidance jumped to $24.37 from $17.31, and non-GAAP EPS to $25.50 from $17.90. Third-quarter revenue is projected at $49 billion, an 81% increase. This follows the exceptional Q1 FY27 results reported in June, which showed an 88% revenue surge and 282% EPS growth. The magnitude of the guidance raise—especially the $14 billion increase in AI server revenue—signals that AI infrastructure demand is accelerating faster than management previously anticipated. The company's competitive position in AI servers is strengthening, with CFO David Kennedy citing reinforcing advantages in growth, share gains, and profitability. Investors will focus on whether Dell can sustain this momentum given supply chain constraints and intense competition in the AI hardware space.
Updates
· SEC 8-K — Q2 revenue was $47.0B, up 58% YoY; diluted EPS $6.34, up 273%; AI server backlog reached $95B. Board declared a quarterly dividend of $0.63 per share payable Oct. 30.
At the time of this announcement, DELL was trading at $452.03 on NYSE in the Technology sector, with a market capitalization of approximately $275.5B. The 52-week trading range was $110.22 to $514.00. This news item was assessed with positive market sentiment and an importance score of 9 out of 10. Source: Dow Jones Newswires.