Saturday, 30 August, 2025
Dell Shares Slide 10% as AI Server Costs Crush Profit Margins
Dell Technologies’ stock plunged nearly 10% amid surging costs for AI-optimized servers and fierce competition, despite strong demand for AI infrastructure and raised full-year forecasts. The company prioritized fulfilling AI server orders—boosting its AI shipment outlook to $20 billion—but its adjusted gross margin dropped to 18.7%, missing the 19.6% target. A soft Q3 profit forecast of $2.45 per share further dented investor confidence.
Read full story at Economic Times