Dell's stock price soars 32% for its best single-day performance ever as AI server revenue surges
Source: Global Markets Report
Dell Technologies' stock soared 32.76% at Friday's close, marking its best single-day performance in history. The surge came after the company reported its fastest revenue growth since returning to the public market in 2018.
The stock narrowly surpassed its previous record gain of 31.6% set on March 1, 2024. So far in 2026, the stock price has risen a total of 234%.
Dell released its first-quarter earnings after market close on Thursday. Its servers, equipped with GPUs from companies such as Nvidia, saw an explosive rise in demand related to artificial intelligence.
Quarterly revenue surged nearly 88% year-over-year, with AI server revenue alone climbing 757% to $16.1 billion. Adjusted earnings per share reached $4.86, far exceeding market expectations of $2.94.
Ben Reitzes, Director of Technology Research at Melius, said he had “never seen a performance like” Dell's latest quarter. “They beat every figure in the models, so it's not just about AI—it's outstanding execution. They exceeded any expectations we could imagine.”
On Friday, confronted with these unexpected results, some analysts had to reconsider their methods for evaluating Dell.
Morgan Stanley wrote that even though they had originally expected a clean beat and guidance revision, Dell's performance left them “humbled.”
Analysts wrote: “We got it wrong this time, and our models and price targets are under reassessment. This is one of the most impressive all-around quarters we've seen since covering the hardware sector, especially considering what's happening across the component space.”
Even before Friday's surge, Dell's share price had already skyrocketed, nearly tripling over the past year. During this period, company chairman and CEO Michael Dell established a close relationship with US President Donald Trump during his second term.
Government ethics disclosure documents show that Trump bought $1 million to $5 million of Dell stock on February 10, right after Michael and Susan Dell announced a $6.25 billion donation to provide Trump Account funds for 25 million American children.
At a Mother's Day event held at the White House earlier this month, Trump thanked the Dells for their participation in the Trump Account program and told Americans to “go buy a Dell computer.”
On Wednesday, Dell won a $9.7 billion Pentagon contract to provide a suite of software tools for the US military.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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