Dell's $95 Billion Backlog Changes Everything

Dell Technologies (DELL) has already proved itself as an excellent buy. Dell is proving that AI infrastructure could evolve into a far bigger and more lucrative platform than was initially thought possible. The company saw its AI backlog reach $95 billion as Q2 orders surged to $60.9 billion against just $16.4 billion in revenue. FY27 AI server revenue is expected to triple to $74 billion, while supply increasingly appears to constrain growth. ISG operating income surged 225% to $4.8 billion as operating margin expanded 620 basis points to 15%. Dell trades at a peer premium, but operating leverage, storage attachment, and potential FY28 earnings revisions increasingly support it.