Dell Hits a Record High After RBC Starts Coverage With a $640 Target

Dell Technologies closed at a record on Friday, rising 11.97% to $567.29, after RBC Capital Markets began covering the stock with an Outperform rating and a $640 price target. The initiation handed buyers a fresh reason to bid up a name that had already quadrupled this year. It was an all-time high.

RBC bets on a multi-year buildout

The call came from RBC analyst David Paige, who framed Dell as a long-run winner from corporate spending on artificial intelligence. The thesis is short. “With no signs of slowing, we believe Dell continues to be well positioned to benefit from a multi-year AI infrastructure spending cycle,” Paige wrote. His $640 target sat 13% above Friday’s close.

Paige leaned on figures Dell disclosed with its most recent quarter: roughly $16.4 billion in AI-optimized servers sold in the period, and a server order backlog of about $95 billion still waiting to be filled. He also pointed to Dell’s supply chain as a competitive edge, describing it as a “calming hand” for customers when AI hardware runs scarce.

The call rested on numbers Dell reported on September 1. Revenue hit a record $47.0 billion for the fiscal second quarter, up 58% from a year earlier. The AI server unit booked a record $60.9 billion in orders during the period and recognized $16.4 billion of that in revenue, which is how the backlog swelled to $95 billion. Traditional servers and networking revenue rose 122% year over year. Dell also lifted its full-year revenue outlook by $25 billion, to $192 billion, a sign management expects the AI order flow to keep landing. Those results turned a maker of laptops and desktops into one of the biggest sellers of Nvidia-based systems. RBC arrived a week and a half later to put a rating and a price on that shift.

A record built on a steep climb

Friday’s move extended an already sharp run. Dell had gained about 17% over the prior 30 days, and the close pushed the stock above its highest level of the past three months. Volume ran 1.7 times the 20-day average, a heavier session than usual. The advance has been relentless. The move capped a week in which the stock rose more than 8%. Across 2026 the shares have climbed near 350%, one of the year’s largest gains among the large-cap technology names Bellwize follows.

The distance traveled is easier to see from the floor. Dell traded as low as $211.64 within the past 90 days. Friday’s close sits more than 160% above that mark, a measure of how far the repricing has run in a single year.

The $95 billion backlog is the next test

For now, the argument centers on that backlog. RBC’s $640 target marks one Wall Street view of how much room is left, and it is a forecast rather than a promise; other analysts will publish their own. The next hard read arrives with Dell’s fiscal third-quarter report, when the company shows whether orders kept building and how fast the backlog is converting into revenue. The number to watch is the backlog. Until that update lands, Friday’s initiation stands as the catalyst that reset the stock.

This is a general-market summary for information only — not investment advice, and not a recommendation regarding any security.