Key Highlights
- Dell achieved $113.5B in fiscal 2026 revenue with 19% growth, maintaining a $43B AI server backlog
- Oracle delivered 44% cloud revenue expansion with remaining performance obligations reaching $553B, representing 325% growth
- Nebius experienced 479% revenue growth to $529.8M and projects $7B–$9B in annual recurring revenue by late 2026
- Palantir generated $4.475B in fiscal 2025 revenue with 56% growth and achieved 50% adjusted operating margins
- AI infrastructure momentum continues driving expansion, though valuation multiples vary significantly among these companies
Dell delivered $113.5 billion in revenue during fiscal 2026, marking a 19% increase year-over-year. The Infrastructure Solutions Group segment expanded by 40% during this timeframe.
The technology giant secured over $64 billion in AI-optimized server orders throughout the fiscal year. By the end of fiscal 2026, Dell maintained a $43 billion backlog of AI server commitments, positioning it among the sector’s leaders.
Operating income reached $8.1 billion, reflecting 31% growth. This expansion occurred while the company fulfilled substantial enterprise-scale orders.
Market pricing for Dell often reflects traditional hardware company multiples rather than valuing it as an AI infrastructure provider. Several analysts suggest this valuation disconnect presents opportunities for investors.
Oracle: Accelerating Cloud Adoption and Long-Term Contracts
Oracle posted $17.2 billion in revenue during its fiscal third quarter of 2026, representing 22% growth. Cloud services expanded 44%, while Oracle Cloud Infrastructure specifically surged 84%.
Remaining performance obligations — representing future contracted revenue — climbed to $553 billion, showing 325% year-over-year expansion. This metric demonstrates substantial committed customer demand.
Oracle preserved a 43% non-GAAP operating margin during the quarter. The company maintained this profitability level while making significant investments in AI cloud infrastructure expansion.
Commercial enterprises drive a substantial portion of Oracle’s demand growth, moving beyond historical government contract reliance. This customer diversification has helped transform perceptions beyond its legacy database business origins.
Nebius and Palantir: Rapid Expansion with Varying Investment Considerations
Nebius posted full-year 2025 revenue of $529.8 million, representing 479% growth compared to the previous year. Annual recurring revenue climbed to $1.25 billion by year-end.
The company achieved positive adjusted EBITDA for the first time in Q4 2025. Cash reserves stood at $3.7 billion at year-end.
Management projects annual recurring revenue between $7 billion and $9 billion by the conclusion of 2026. This aggressive growth trajectory attracts investors seeking higher-risk, higher-reward AI infrastructure plays.
Palantir generated fiscal 2025 revenue of $4.475 billion, marking 56% year-over-year growth. The company provided guidance projecting approximately $7.19 billion in fiscal 2026 revenue.
Adjusted operating margins reached 50% for the full year. Record deal activity emerged from both government agencies and commercial enterprises.
Palantir’s current valuation incorporates robust growth assumptions. The stock commands premium multiples relative to Dell and Oracle, which some market observers believe reduces margin for disappointment.
Investment Considerations
Each company demonstrates substantial growth momentum, with AI demand validated across all four businesses. The critical distinction centers on valuation relative to growth trajectories. Dell and Oracle appear to offer more conservative entry points based on current multiples, Nebius presents elevated risk alongside potentially greater appreciation opportunity, while Palantir operates as a high-quality franchise that may have limited upside built into current pricing.
