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Dell Raises Full-Year Revenue Outlook After First-Quarter Revenue Jumps 88%

Dell Raises Full-Year Revenue Outlook After First-Quarter Revenue Jumps 88%

Dell raised its full-year revenue forecast and fiscal 2027 AI server outlook after an AI-driven earnings beat, while UBS lifted its price target as shares surged in premarket trading.

Fact Check
Dell's official press release (Business Wire, May 28, 2026) confirms Q1 FY27 revenue grew 88% YoY to a record $43.8B, and Dell raised both its full-year revenue guidance (to $165-169B) and FY27 AI-optimized server revenue outlook (to ~$60B, +144%). CNBC independently corroborates the AI-driven earnings beat and raised guidance. The claim accurately summarizes the announcement.
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Summary

Dell shares surged after the company posted an AI-driven earnings beat and raised its full-year revenue outlook to $165 billion to $169 billion. First-quarter revenue rose 88% year over year to $43.84 billion, while previously disclosed first-quarter profit was $3.44 billion, or $5.24 per share, with adjusted earnings per share of $4.86. Dell also increased its fiscal 2027 AI server revenue outlook to about $60 billion and said a Dell unit won a five-year $9.7 billion U.S. Defense Department contract. UBS later raised its price target on Dell to $440 from $243. Market reaction was sharply positive, with one report saying the stock rose about 39% after hours, while Bitget data showed a 37.13% premarket gain to $434.76 on May 29, with another report describing the move as nearly 40%. The results underscored strong demand for AI infrastructure while also pointing to broader technology supply chain pressure.

Terms & Concepts
  • AI infrastructure: The hardware and supporting systems needed to train, deploy, and operate artificial intelligence workloads, including servers, chips, storage, and networking.
  • Price target: An analyst’s estimate of where a stock could trade over a set period, often used to signal expected upside or downside.
  • Adjusted earnings per share: A profit metric that excludes selected items to show underlying per-share earnings from core operations.