Business & Finance
Dell shares climb 10% after RBC issues bullish analyst rating
CNBC reports that RBC set a $640 target, citing Dell's massive backlog for AI servers.
The short version
- Dell Technologies stock rose 10% on Friday after RBC Capital Markets initiated coverage with an outperform rating and a $640 target.[CNBC]
- RBC highlighted a $95 billion server backlog and robust demand for artificial intelligence hardware.[CNBC]
- Dell recently lifted its full-year sales forecast to $192 billion while planning price hikes to offset component expenses.[CNBC]
Key facts
- Dell Technologies stock gained 10% after RBC Capital Markets initiated coverage with an outperform rating and a $640 price target.[CNBC]
- RBC reported that Dell maintains an unfilled server order backlog of $95 billion and delivered approximately $16.4 billion in AI servers during Q2.[CNBC]
- Dell raised its annual revenue projection to $192 billion following quarterly earnings that beat expectations.[CNBC]
- Company executives stated they are implementing price increases to address higher costs for components like memory.[CNBC]
What remains uncertain
- The timeline and margin impact of converting the $95 billion backlog into completed sales while component prices rise remain unverified.[CNBC]
Sources
Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.