Dell's AI Server Business Poised for Growth Amid Strong Demand
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3 days ago
0mins
Should l Buy DELL?
Source: stocktwits
- Earnings Growth Outlook: Goldman Sachs anticipates that demand for Dell's AI servers will drive earnings growth, projecting that revenue from its AI server business will more than double to approximately $50 billion by fiscal 2027, highlighting the company's strong position in the rapidly expanding AI market.
- Price Target Increase: Goldman raised its price target on Dell Technologies from $195 to $215 while maintaining a 'Buy' rating, implying a 13% upside from current levels, reflecting analysts' optimistic expectations for the company's future performance.
- Strong Market Performance: Dell's shares have surged nearly 30% since early March and over 52% so far in 2026, demonstrating strong investor confidence in its AI server business, which has propelled the stock to record highs.
- Ongoing Investment Trend: JPMorgan raised its price target on Dell from $165 to $205, maintaining an 'Overweight' rating, as continued investment in AI infrastructure is expected to provide upside for companies like Dell, further solidifying its market position.
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Analyst Views on DELL
Wall Street analysts forecast DELL stock price to fall
15 Analyst Rating
11 Buy
3 Hold
1 Sell
Moderate Buy
Current: 193.090
Low
113.00
Averages
164.85
High
180.00
Current: 193.090
Low
113.00
Averages
164.85
High
180.00
About DELL
Dell Technologies Inc. is engaged in designing, developing, manufacturing, marketing, selling, and supporting a wide range of comprehensive and integrated solutions, products, and services. The Company operates through two segments: Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG). Its ISG segment enables the Company’s customer’s digital transformation with solutions that address artificial intelligence (AI), machine learning, data analytics, and multi cloud environments. Its comprehensive storage portfolio includes modern and traditional storage solutions, including all-flash arrays, scale-out file, object platforms, hyper-converged infrastructure, and software-defined storage. Its CSG segment offers branded personal computers (PCs) including notebooks, desktops, and workstations and branded peripherals that include displays, docking stations, keyboards, mice, and webcam and audio devices, as well as third-party software and peripherals.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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Reduction in Holdings: SLS PV-2, L.P. has decreased its shareholding in Dell Technologies by 2.72 million shares since March 2, 2026, with a total value of around $432.98 million.
See More
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Reduction in Holdings: Since March 2, 2026, Silver Lake Partners IV, L.P. has reduced its shareholding in Dell Technologies by 2.72 million shares, with a total value of around $432.98 million.
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