Could This AI Stock Ride Nvidia’s Golden Wave Next?

• Nvidia’s revenue soared from $61 billion to $130 billion in fiscal 2025.
• Dell Technologies reported record sales at $43.6 billion in fiscal 2025.
• Dell’s AI server business grew over sixfold, hitting nearly $10 billion in revenue.
• Major tech firms plan to invest $320 billion in AI capabilities this year.
• Dell has a current AI backlog of $14.4 billion amid unprecedented demand.

Nvidia Leads a Transformative AI Revolution

As we dive into the world of technology investments, particularly within the realm of artificial intelligence (AI), we encounter a surge in companies positioned to cash in on the AI boom. One of the frontrunners, Nvidia, has firmly established itself as a key player in this developing landscape, boasting remarkable revenue growth. Thanks to its cutting-edge chips and software, Nvidia’s fiscal year 2025 saw revenues skyrocket to over $130 billion from a previous record of $61 billion.

Dell Technologies Benefits from AI Growth

But Nvidia isn’t alone in this evolving market; Dell Technologies, while not strictly an AI company, is cleverly riding the coattails of this golden wave. The company recorded solid numbers, with a notable rise in its Infrastructure Solutions Group, reaching an impressive $43.6 billion in fiscal 2025. Specifically, their AI server segment generated nearly $10 billion, astonishingly growing from just $1.5 billion in fiscal year 2024. That’s a six-fold surge in demand, showing that Dell is tapping into the immense appetite for AI capable hardware.

Future Prospects for AI and Dell’s Role

This bullish momentum does not solely stem from impressive numbers. Indeed, as major tech players like Meta Platforms, Amazon, Alphabet, and Microsoft invest a staggering $320 billion into expanding AI capabilities, the pressure on infrastructures becomes palpable. Furthermore, the Stargate Project, in collaboration with OpenAI, aims to funnel an additional $500 billion into AI infrastructure over the next few years. This sets an overwhelming stage for Dell’s server business, contributing to an AI backlog of $14.4 billion following unmatched demand. Chief Operating Officer Jeff Clarke emphasized these unprecedented orders and the bright trajectory of the company moving forward.

While Nvidia continues to shine as a leader in AI chip manufacturing, Dell Technologies has cleverly positioned itself to benefit from the ongoing AI surge. Their revenues ballooning alongside significant investments in AI infrastructure point to a promising future. With robust dividend policies and shareholder returns, along with a strong potential for growth in the AI server market, Dell might indeed be a wise investment as we head deeper into this technological era.