TD Cowen Increases PT on Dell Technologies (DELL) Stock, Maintains Hold Rating

On May 30, TD Cowen increased its price target on Dell Technologies Inc. (NYSE:DELL) from $120 to $125 and maintained a Hold rating on the stock.

Krish Sankar from TD Cowen raised the price target on Dell Technologies following robust AI server orders and Commercial PC sales during Q1 FY2026. The company’s AI-optimized servers saw an unprecedented demand, with orders reaching $12.1 billion in the first quarter. The massive growth across all core segments helped the company achieve record cash generation for Q1, with cash flow from operations reaching $2.8 billion.

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Sankar highlighted the strong AI server orders in Q1 and the anticipated Q2 AI shipments to be around $7 billion to be key growth factors for Dell. The company continues to gain momentum from AI innovation, including major advancements in AI infrastructure and partnerships with leading industry players such as NVIDIA and Google. The analyst believes that Dell’s solid market position and ability to gain operating leverage and FCF through continued cost discipline puts it in a good position for the future. Dell has reiterated its FY2026 revenue outlook of $101-105 billion, despite potential tariff and commodity costs.

Dell Technologies Inc. (NYSE:DELL) is engaged in designing, developing, and selling various comprehensive and integrated solutions, products, and services. The company has two segments, including Infrastructure Solutions Group (ISG) and Client Solutions Group (CSG).

While we acknowledge the potential of DELL to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DELL and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.