Overview
- Dell reported a record quarter on May 28, 2026 with total revenue of $43.84 billion and EPS of $4.86, driven by $16.1 billion in AI‑optimized server sales that rose 757% year over year.
- Wall Street sharply raised ratings and price targets after the report, with firms such as Daiwa, Citic and Morgan Stanley moving to higher targets or upgrades and a consensus that reflects strong buy interest.
- The company said it has a large, multi‑quarter AI server backlog and cited sizable public‑sector wins including a roughly $1.44 billion Microsoft‑linked Air Force license agreement, giving near‑term revenue visibility.
- Insiders sold about $1.49 billion of stock in recent weeks while the board approved a $0.63 quarterly dividend payable July 31 to shareholders of record July 21, actions that change how gains are returned to investors.
- Management and analysts warn that memory, GPU costs and supply constraints could press margins in coming quarters even as Dell’s long strategic shift from PCs to data‑center and storage infrastructure positions it to capture AI demand.