President Donald Trump’s remark urging people to “go out and buy a Dell” has turned into unexpectedly profitable investment advice.
Specifically, when the commander-in-chief gave the comment during a White House Mother’s Day event, Dell (NYSE: DELL) stock closed at $260.45.
By the regular session’s close on May 28, DELL stock was 21.73% higher at $317.05 and, even more remarkably, the equity soared 38.20% to $438.16 in the subsequent extended session.
Therefore, taking President Donald Trump’s gratitude to the billionaire family as investment advice and buying $1,000 of DELL shares would have ensured the stake rose to $1,217 by the Thursday closing bell.
By the morning of May 29, the position would have been worth $1,682 based on Dell’s share price, implying a profit of $682.
Why Dell stock price is soaring
Elsewhere, the main driver of Dell stock’s latest rally was an impressive earnings report, which featured a double beat, optimistic guidance, and a large-scale government contract.
To begin with, the technology company revealed its revenue in the first quarter (Q1) of the fiscal 2027 came in at $43.84 billion – and an impressive beat of the $35.43 forecast – and earnings per share (EPS) ran as high as $4.86 – the consensus was at a significantly lower $2.94.
Furthermore, the standout component of the sales came from artificial intelligence (AI) servers, which provided a 757% increase to over $16 billion.
Guidance was equally impressive, with Dell increasing its fiscal 2027 forecast for revenue to between $165 billion and $169 billion and for EPS to $17.90. Previous analyst consensus had the figures at $142.5 billion and $13.09 per share, respectively.
Dell also benefited from a Department of Defense-related tailwind after a $9.7 billion government contract was unveiled late on May 28.
Featured image via Shutterstock
