Dell's AI server sales just went vertical — ride the momentum on Dell and its partner Palantir
Dell just reported that its AI server revenue exploded 757% higher than last year, sending the stock up 32% in its best day ever. The ripple effects are already lifting partners like Palantir and the broader software sector, which is wrapping up its best month since 2001.
Idea
Dell's AI server revenue grew 757% year-over-year, signaling that corporate spending on AI infrastructure is accelerating far faster than Wall Street expected. That news already dragged Palantir up 10% because the two companies run an AI Factory partnership — Dell supplies the hardware, Palantir provides the software layer. When one partner smashes expectations this badly, the other often keeps climbing as investors connect the dots. The broader software sector is having its best month in 25 years, so there's real tailwind behind these names. The risk is that Dell's 32% single-day jump means a lot of good news is priced in, which is why a trailing stop makes sense to protect gains if momentum stalls.