Dell, HPE shares rise as Super Micro revenue outlook tops expectations

Shares of Dell Technologies Inc. and Hewlett Packard Enterprise Co. rose in premarket trading on Tuesday after Super Micro Computer Inc. posted revenue guidance that exceeded analyst expectations.

Super Micro, a supplier of high-performance server and storage systems, said it expects revenue for the current quarter to increase between 15% and 20% sequentially, well above the 6% to 8% growth range forecast by analysts polled by Refinitiv. The company also raised its full-year revenue guidance, projecting growth of 45% to 50% compared with a prior forecast of 35% to 40%.

The upbeat outlook from Super Micro, which serves data center and enterprise markets, signaled strong demand for its products, analysts said. The company’s guidance followed a 30% year-over-year revenue increase in the prior quarter, driven by demand for AI-related hardware.

Dell and HPE, both major suppliers to enterprise and data center customers, are often viewed as bellwethers for the broader server and storage market. Their premarket gains reflected investor optimism that Super Micro’s performance reflects a broader industry upturn.

Dell was up 2.5% and HPE rose 3.2% in premarket trading. Super Micro’s stock surged 15% in extended hours after the guidance was released.

Analysts at Wedbush maintained an outperform rating on Super Micro, citing its strong positioning in the AI infrastructure market. The company’s shares have gained more than 200% over the past year, outpacing broader tech benchmarks.