Dell's blowout AI numbers light a fire under software stocks — ride the Palantir and Snowflake momentum
Software stocks just had their best month in over two decades. Dell's blowout AI server earnings proved companies are spending heavily on AI, and that spending is lifting software firms like Palantir, Snowflake, and Okta to record gains.
Idea
Dell's massive AI server revenue beat just gave investors hard proof that corporate AI spending is accelerating — not slowing down. That spending doesn't stop at hardware; it flows straight into software platforms like Palantir's AI Factory and Snowflake's cloud data tools. Both stocks just hit record highs this week, and the entire software sector is wrapping up its best month since 2001. When an entire industry group goes from left-for-dead to leading the market in a single month, the momentum typically carries further as more fund managers scramble to catch up. The old narrative that AI would kill software companies is officially dead.