Dell Technologies is expanding its cloud services with infrastructure solutions and AI-enabled cloud offerings. In Q2 of fiscal 2026, ISG revenues grew 44% to $16.80 billion, driven by servers and networking revenues of $12.94 billion. Dell’s AI servers saw $8.2 billion in shipments, supporting large-scale cloud deployments.

Facing competition from Microsoft and Alphabet, Dell Technologies is up against strong cloud growth. Microsoft’s Azure revenues reached $46.7 billion in Q4 2025, while Alphabet’s Google Cloud revenues surged 31.7% to $13.62 billion in Q2 2025, with an annual revenue run rate exceeding $50 billion.

Dell’s shares have gained 29.9% YTD, outperforming the sector. With a Value Score of B and a forward Price/Sales of 0.89X, DELL is positioned for growth. Consensus estimates for fiscal 2026 show expected earnings of $9.54 per share, indicating 17.20% YoY growth.

Dell Technologies Inc. currently holds a Zacks Rank #1 (Strong Buy), offering significant potential. The company is well-positioned in the cloud infrastructure market, with a growing portfolio of solutions and AI-enabled offerings. Investors should keep an eye on DELL as it continues to drive ISG revenue growth.

Read more at Nasdaq: DELL Gains Traction in Cloud Infrastructure: Can it Drive ISG Revenue?