Dell's Blowout Q2 Sparks AI Infrastructure Frenzy

Dell Technologies' second-quarter earnings report has sent shockwaves through the market, with shares jumping 10% in premarket trading. The company's revenue and adjusted EPS far exceeded Wall Street estimates, while it also raised its full-year outlook.

Futurum CEO Daniel Newman called Dell's print 'the most bullish AI trade report since Nvidia's latest results.' Bank of America has followed suit by hiking its DELL price target to $600 from $505.

The company's strong Q2 performance was driven by its AI infrastructure business, with a record $60.9 billion in AI server orders booked during the quarter. Dell now expects AI-optimized server revenue of $74 billion, up from its prior forecast of $60 billion.