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Publication Date: 2026-02-26 15:55:00
ring near-term growth expectations. Still, Q2 revenue beat forecasts, and the bank says demand looks steady, with bookings growth in the mid-teens and strong new-customer adds.
Why should I care?
For markets: Strong pipelines still need hardware to turn into sales.
This is a classic “demand vs. delivery” setup. Bookings can look healthy, but revenue can slip if customers can’t get servers on time. That gap can make results lumpy and keep sentiment jumpy for software tied to on-prem and hybrid deployments – and it can also ripple to chip and memory suppliers when constraints ease or tighten.
Zooming out: Strategic checks can change what investors call the downside.
A strategic stake priced near $36 a share is different from a buyback – it’s outside money willing to pay up and partner. That can act as a psychological floor, especially with an AI-related angle like edge inference, as more workloads move closer to where data is created. But Morgan Stanley still kept an equal weight rating and trimmed its price target to $53 from $56, a reminder that execution and timing matter as much as the AI story.