Dell Technologies (NYSE: DELL) heads into its fiscal second-quarter 2027 earnings report on September 1, with Wall Street maintaining a bullish outlook despite a recent pullback from highs above $500.
Analysts expect earnings per share of $4.88 to $4.95, up roughly 110% to 113% from $2.32 a year ago, while revenue is projected at $44.2 billion to $45.3 billion, representing annual growth of about 50% to 52%.
The estimates broadly align with management’s prior guidance for revenue of $44 billion to $45 billion and non-GAAP EPS of approximately $4.80.
The optimism follows a strong first quarter, when Dell reported revenue of $43.84 billion, up 88% year over year, and non-GAAP EPS of $4.86. AI server revenue reached $16.1 billion, while AI orders totaled $24.4 billion and backlog climbed to a record $51.3 billion.
Following the results, Dell raised its fiscal 2027 outlook, projecting annual revenue of $165 billion to $169 billion and AI-optimized server revenue of about $60 billion.
DELL stock price prediction
As of press time, Dell shares were trading at about $456 after retreating from highs above $500.
Based on forecasts from 13 Wall Street analysts over the past three months, the average 12-month price target stands at $529.18, implying upside of 15.99% from current levels.
Among the analysts tracked by TipRanks, 10 rate Dell a ‘Buy’ and three recommend ‘Hold’, while none rate the stock a ‘Sell’. The highest price target stands at $700, while the lowest forecast is $434.
Investor optimism remains centered on Dell’s Infrastructure Solutions Group, which includes its server, storage, and networking businesses.
Impact of earnings on DELL stock
The upcoming earnings report is a key catalyst for the stock. Strong results and another guidance increase could reinforce the bullish outlook and support further gains toward analyst price targets.
Beyond AI server sales, Dell has benefited from growing adoption of its Dell AI Factory platform, which helps enterprises deploy AI workloads across on-premises, cloud, and hybrid environments.
The company has also expanded its AI infrastructure offerings through partnerships with Nvidia and large-scale enterprise AI projects, strengthening its position in the fast-growing AI infrastructure market.
However, Dell’s sharp rally has raised expectations, leaving little room for disappointment. Management has previously indicated that supply constraints remain a bigger challenge than demand, while the growing contribution of AI hardware could pressure margins.
Any slowdown in AI spending or weaker-than-expected guidance could weigh on the stock after its strong 2026 run.
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