Dell Technologies reported record fiscal second-quarter results, with revenue rising 19% to $29.8 billion and adjusted earnings climbing to $2.32 a share. Infrastructure sales jumped 44% on surging demand for artificial-intelligence servers, prompting the company to raise its full-year AI-server shipment forecast to $20 billion from $15 billion. However, gross margin pressure in its server business and guidance for third-quarter profit of about $2.45 a share—below analysts’ $2.55 estimate—sent the stock down roughly 7% in early New York trading, its steepest decline in nearly five months. Marvell Technology also matched second-quarter expectations—posting adjusted earnings of $0.67 a share on revenue of $2.01 billion—but disappointed investors with a flat outlook for data-center sales and third-quarter revenue guidance of $2.06 billion, shy of the $2.11 billion consensus. The weak forecast triggered a pre-market slide of up to 16% and a wave of analyst downgrades, including Bank of America moving the shares to Neutral and trimming its price target to $78. The twin pullbacks highlight investor sensitivity to profit margins and near-term growth visibility in the nascent AI hardware boom. While both companies cited robust long-term demand for accelerated computing, Dell’s rising production costs and Marvell’s ‘lumpy’ custom-chip pipeline underscored the execution risks that can quickly overshadow top-line strength in the sector.