Dell shares jump 39% after raising revenue forecast to $169 billion, citing soaring demand for AI-optimized servers

Dell lifted annual revenue expectations to up to $169 billion from a previous forecast of up to $142 billion, and raised AI server revenue expectations for fiscal 2027 to $60 billion from $50 billion.

The company is seeing strong demand for AI-optimized servers used in data centers, driven by tech giants like Alphabet and Amazon planning to spend over $700 billion on AI-related infrastructure this year.

Dell has been adjusting prices constantly as strong global demand causes the cost of memory chips to soar; Chief Operating Officer Jeff Clarke said there was little sign of inflationary pressure easing.