Trump Urged "Buy Quickly"...Stock Soared 39% Overnight

Dell's AI Server Sales Surge... Stock Jumps 39%

Trump Estimated to Hold Millions of Dollars in Dell Shares

"Buy Dell" Comments Resurface... Conflict of Interest Concerns Emerge

U.S. computer manufacturer Dell Technologies has reported results that exceeded market expectations, driven by a surge in demand for servers for artificial intelligence (AI) data centers. The company’s stock price also reached an all-time high. In addition, news of investments by U.S. President Donald Trump and his previous public comments urging people to buy the stock have further heightened market interest.

U.S. President Donald Trump. Photo by AP Yonhap News

AI Demand Drives 'Earnings Surprise'

On May 28 (local time), Dell announced its earnings and projected revenue for the fiscal year ending January 2027 to reach approximately $167 billion. This far exceeds both the previous guidance of $140 billion and Wall Street’s consensus estimate of $142.1 billion compiled by Bloomberg.

The first-quarter results also delivered a significant earnings surprise. Dell’s revenue for the first quarter (March to May) soared 88% year-on-year to $43.8 billion, well above the market forecast of $35.5 billion. Adjusted earnings per share (EPS) came in at $4.86, more than 1.6 times higher than the expected $2.99.

AI server sales jumped 757% year-on-year to $16.1 billion, with new orders totaling $24.4 billion. As of the end of the first quarter, the backlog for AI servers stood at $51.3 billion.

Existing business segments also maintained solid momentum. Revenue from traditional central processing unit (CPU)-based servers nearly doubled from the previous year, and the PC division posted double-digit growth, supported by a recovery in enterprise PC demand.

Dell logo. Photo by Reuters·Yonhap News

"Go Out and Buy Dell"…Trump’s Remarks Resurface

Immediately after the strong earnings announcement, Dell’s share price soared more than 39% in after-hours trading, reaching a record high. Year-to-date, the stock is up over 150%, establishing itself as a leading AI beneficiary in the market.

At the same time, President Trump’s investment activities are drawing renewed attention. Disclosed records show that he purchased Dell shares multiple times earlier this year, with estimated total buying amounts ranging from at least $1.03 million to as much as $5.11 million.

After acquiring the shares, Trump openly encouraged people to buy Dell computers. In February, he urged supporters to buy Dell computers at an event in Georgia, and at a recent Mother’s Day event at the White House, he reiterated, "Go out and buy Dell computers. They are really great," once again recommending the purchase. In fact, the stock price surged sharply in the short term following these remarks, sparking controversy.

U.S. President Donald Trump. Photo by Reuters Yonhap News

Government Contracts and Donation Controversy…Potential "Conflict of Interest"

The controversy does not end there. News that the U.S. Department of Defense signed a large-scale IT services contract with Dell has raised concerns about a potential conflict of interest between the president’s stock holdings and government procurement.

Furthermore, it was revealed that Michael Dell, the company’s founder, made a large donation to Trump’s account this year, fueling an expanding ethical debate. Civic groups and watchdog organizations are expressing concern that the boundary between public officials’ investment activities and policy decisions could become increasingly blurred.

This content was produced with the assistance of AI translation services.