Hewlett Packard Enterprise shares rose significantly following a strong first-quarter earnings report from competitor Dell Technologies. Investors view Dell's performance as a positive indicator for the broader AI server market.
Dell reported quarterly revenue and profits that substantially exceeded analyst expectations. The company's AI-optimized server revenue grew 757% year-over-year.
Dell raised its full-year guidance, citing sustained demand for AI infrastructure. This growth signal suggests a favorable environment for major competitors like HPE.