Dell shares surged to a new all-time high Friday as Wall Street analysts raised price targets ahead of the company’s fiscal first quarter 2027 earnings report, adding fuel to one of the strongest AI infrastructure trades of the year.

The stock jumped more than 16% to $294, leading the S&P 500 and extending its May rally to about 35%. Dell is now up roughly 125% year to date, driven by investor demand for companies tied to AI servers, data center infrastructure, and enterprise hardware spending.

Analysts moved quickly to reprice the stock before Dell reports results on May 28. Wells Fargo analyst Aaron Rakers raised his price target to $270 from $180 while maintaining an Overweight rating, citing stronger AI server revenue potential.

Rakers said Dell’s AI server revenue could reach $65 billion this fiscal year, above management’s $50 billion target.

Evercore ISI added Dell to its tactical outperform list, citing expectations for stronger earnings tied to AI infrastructure demand. The firm had also raised its Dell target to $270 from $240 earlier in the week, pointing to Dell’s position in enterprise AI infrastructure after the company highlighted new AI products and partnerships at Dell Technologies World.

JPMorgan raised its price target to $280 from $205, while Citigroup lifted its target to $290 from $235, citing strong neocloud and sovereign AI demand, along with an improving enterprise mix. Bank of America also raised its target to $280 from $246, maintaining a bullish view on Dell’s AI server momentum.

Even Morgan Stanley, the most cautious major voice on the stock, raised its price target to $170 from $110 while maintaining an Underweight rating. The firm cited AI strength but remained cautious on valuation and longer-term demand durability.

Dell is expected to report fiscal first quarter results on May 28. Consensus estimates call for adjusted earnings of $3.00 per share, up 93.6% year over year, and revenue of $35.46 billion, up 51.7%, with analysts looking for upside from AI server demand.

The rally extends a broader move that has accelerated since February, helped by Dell’s growing AI backlog and investor rotation into hardware names tied to data center spending. Dell has guided for fiscal 2027 revenue of $138 billion to $142 billion and expects AI-optimized server revenue to roughly double to $50 billion this year.

The surge also comes weeks after President Donald Trump urged people to buy Dell computers during a White House event, comments that helped lift the stock at the time. Since then, shares have continued to rally as analyst upgrades and AI server expectations became the dominant driver of the move.