Dell Technologies stock could climb 158% to $323 over the next three years, driven by accelerating earnings growth from artificial intelligence server demand. The company's infrastructure solutions group posted record server and networking revenue of $7.7 billion in the second quarter of fiscal 2025, up 80% year over year, with AI server shipments of $3.1 billion and a $3.8 billion order backlog. Analysts expect adjusted earnings per share of $7.86 for fiscal 2025, a 10% increase, with growth projected to accelerate in subsequent years. The global AI server and data center networking market is forecast to reach $140 billion by 2028, and Dell's sales pipeline for AI-optimized servers is now several multiples of its backlog. The stock currently trades at a forward earnings multiple of 13, and a re-rating to 30 times earnings could drive the projected upside.
