Dell Technologies Inc - Ordinary Shares - Class C

Blowout quarter + strong EPS growth (good): Dell reported Q2 FY27 revenue of ~$47B (+58% YoY) and non-GAAP diluted EPS of $7.04 (+203% YoY). The company highlighted modernization-driven operating leverage, enabling earnings to grow far faster than revenue.

Demand picture is extremely strong and AI-led (good/surprising): - AI: $60.9B AI server orders in the quarter (record) and $16.4B AI server revenue. Ending AI backlog ~$95B, and pipeline grew sequentially. - Traditional servers & networking: Revenue +122% YoY (management says demand outstrips supply and growth is largely from existing enterprise modernization; they also see some incremental AI/agentic-driven CPU demand). - Storage: Revenue +26% YoY with strong demand for Dell IP; management claims 6 consecutive quarters of Dell IP storage demand growth above market and continued margin improvement from Dell IP mix. - CSG (PCs/consumer + commercial): Revenue +20% YoY, with commercial +22% (8th straight quarter up) and consumer +7% (4th straight quarter up).

Guidance raised; second half expected to accelerate (key forecast): Management expects Q3 revenue ~$49B (+~80% YoY at midpoint) and raised full-year expectations: - Full-year FY27 revenue guide: ~$192B (+~70% YoY at midpoint) - Full-year non-GAAP diluted EPS guide: ~$25.50 (+~150% YoY at midpoint) - ISG growth: ~120% full-year, driven by AI server revenue ~3x YoY to ~$74B; traditional servers >100%, storage mid-teens, CSG mid-teens. - Operating leverage: OpEx ~8% of revenue (management says this is the lowest in 42 years) and operating income +~120% in FY27.