Dell Inc. (NASDAQ:DELL) is scheduled to report second-quarter earnings after the market closes on Thursday, and investors are hoping the recent surge from the company’s artificial intelligence (AI) partner NVIDIA Corporation (NASDAQ:NVDA) is a positive indicator.
Nvidia shares hit a record high Wednesday on the heels of the company’s own results, driven by soaring demand for its AI chips. Dell offers some exposure to Nvidia’s success through Project Helix, an effort to help businesses use breakthrough generative AI that the two companies launched in May.
For the quarter, analysts expect Dell to report earnings of $1.14 per share on revenue of $20.78 billion, compared to $1.68 per share and revenue of $26.43 billion a year ago.
That said, Dell has managed to beat earnings expectations in each of the last five quarters.
The company’s shares are also up more than 40% thus far in 2023. That’s a fraction of the 234% gain posted by Nvidia over the same span, but traders will be watching for whether Nvidia’s rising tide can lift Dell’s boat.
Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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