Dell Boosts Annual Outlook Amid AI Server Demand Despite Stock Drop

Dell Technologies raised its annual revenue and profit forecasts driven by strong demand for AI-optimized servers powered by Nvidia chips, expecting $20 billion in AI server revenue for 2026 and an overall revenue of up to $109 billion, despite a slightly lower profit outlook for the third quarter. The company's infrastructure solutions saw significant growth, and a PC refresh cycle is expected to boost demand for Dell's products. Shares fell over 4% in extended trading after the profit outlook missed estimates.