Dell Technologies was added to Evercore ISI’s tactical outperform list ahead of its quarterly earnings report, with analysts highlighting strong momentum in artificial intelligence infrastructure and revenue growth.
Evercore cited Dell’s AI orders booked at $24.4 billion in the prior quarter, alongside $16.1 billion in recognized AI server revenue and a record $51.3 billion AI backlog. Street consensus estimates project fiscal 2027 revenue growth exceeding 50%, with Evercore anticipating potential upward revisions to Dell’s guidance.
The firm noted that supply constraints, particularly for CPUs and optical components, continue to limit compute growth despite robust demand. Evercore expects these pressures to persist into 2027, tighter than in 2026. For the upcoming quarter, Evercore forecasts roughly 10% year-over-year revenue growth in storage, while Dell’s Client Solutions Group is seen benefiting from a commercial PC refresh cycle and higher average selling prices, though operating margins are expected to decline sequentially.
Street estimates for Dell’s next quarter include revenue of $44.9 billion and earnings per share of $4.89, representing an estimated 51% year-over-year revenue increase.
