AI-Summary – News For Tomorrow
Dell shares rose after JPMorgan reaffirmed an ‘Overweight’ rating, citing Dell’s leading position in AI servers. The stock initially jumped 3.5% before settling to a 3.1% gain, closing at $138.01. This followed an earlier 2.8% gain driven by investor optimism surrounding Dell’s AI hardware performance and a broader tech rally. Strong AI and data center demand fueled Dell’s record Q2 revenues, with AI server shipments reaching $8.2 billion. Dell raised its full-year AI server shipment forecast to $20 billion. The stock is up 18.4% year-to-date and is trading near its 52-week high.
News summary provided by Gemini AI.
What Happened?
Shares of computer hardware and IT solutions company Dell 
DELL jumped 3.5% in the afternoon session after a note from JPMorgan the previous day reiterated an ‘Overweight’ rating, highlighting Dell’s ‘AI Server leadership’ position.
After the initial pop the shares cooled down to $138.01, up 3.1% from previous close.
Is now the time to buy Dell? Access our full analysis report here, it’s free.
What Is The Market Telling Us
The previous big move we wrote about was 8 days ago when the stock gained 2.8% on the news that investor optimism grew around the company’s performance in the artificial intelligence (AI) hardware market, supported by a broader rally in technology stocks.
Dell benefited from surging AI and data center demand, which drove its financial results. The company reported record revenues of $29.8 billion in the second quarter of fiscal 2026, a 19% year-over-year increase. This growth was largely fueled by its Infrastructure Solutions Group, which saw revenue jump 44% to $16.8 billion. Specifically, Dell shipped $8.2 billion worth of AI servers and booked $5.6 billion in new orders during the quarter.
Looking ahead, the company showed its confidence by raising its full-year fiscal 2026 AI server shipment forecast to $20 billion. The positive news came as money streamed back into the technology sector, with investors encouraged by advancements in AI across the industry.
Dell is up 18.4% since the beginning of the year, and at $138.01 per share, it is trading close to its 52-week high of $144.21 from November 2024. Investors who bought $1,000 worth of Dell’s shares 5 years ago would now be looking at an investment worth $2,039.
Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link.
