Dell Shares Jump 17% After-Market Amid Dividend Boost, Earnings Beat, Helped by AI

The company reported a 22% surge in adjusted earnings to $2.20 a share in the three months ended Feb. 2 from a year earlier. That's better than the $1.72 adjusted earnings per share estimate of analysts polled by Capital IQ, according to MT Newswires.

The company boosted its topline even as it saw an 11% decline in net revenue to $22.32 billion in its fiscal fourth quarter. Still, the results were higher than the $22.17 billion average estimate reported by MT Newswires.

"Our strong AI-optimized server momentum continues, with orders increasing nearly 40% sequentially, and backlog nearly doubling, exiting our year at $2.9 billion," Chief Operating Officer Jeff Clarke said in the company's earnings release. "We just started to touch the AI opportunities ahead of us and we believe Dell is uniquely positioned with our broad portfolio to help customers GenAI solutions."

The company also announced that it's boosting its annual cash dividend to $1.78 per share, with 44.50 cents per share payable on May 3 to holders as of April 23, according to its press release on Thursday.