On June 11, Dell Technologies rose 3.04% in regular trading, trading at $380.845/share, with turnover of $1.449 billion. The stock continues to build on strength following its blockbuster fiscal Q1 earnings report.
Dell recently delivered Q1 results that significantly exceeded expectations, with total revenue of $43.8 billion representing 88% year-over-year growth and beating consensus estimates by $8.4 billion. Adjusted EPS of $4.86 surpassed expectations by $1.92. The standout metric was AI server revenue of $16.1 billion, surging 757% year-over-year, while new AI orders reached $24.4 billion in the quarter with backlog climbing to a record $51.3 billion. The Infrastructure Solutions Group posted 181% revenue growth, driving the company to raise full-year guidance.
Despite the explosive top-line growth, analysts note that margin compression remains a concern as chip price increases and tariff costs pressure profitability. Nevertheless, Dell's operational efficiency improvements — reducing operating expenses as a percentage of revenue from 16.1% to 9.5% — helped net income surge 256% to $3.438 billion, outpacing revenue growth significantly.
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