Dell adds 43% in a week on AI servers; Exxon votes to go Texan

Dell Technologies gained 42.59% in four sessions after reporting $43.8 billion of revenue and $24.4 billion in AI orders. Exxon Mobil shareholders approved moving its legal home to Texas, and a Sysco director bought $1 million of stock.

Exxon Mobil shareholders approved moving the company's legal home from New Jersey to Texas, with 71.2% of votes cast in favor, and a Sysco director bought about $1,000,035 of stock. Dell had the bigger week.

Dell Technologies added about 43% in a four day week, and most of it came on Friday, the day after the Round Rock company reported its quarter.

Revenue for the first quarter of fiscal 2027 came to $43.8 billion, up 88% from a year earlier, Dell's earnings release filed May 28 shows. Its infrastructure group, which sells servers, storage and networking, brought in $29.0 billion, up 181%. Revenue from servers built for AI was $16.1 billion, up 757%, and the company booked $24.4 billion in new AI orders. Diluted earnings were $5.24 a share.

Dell now expects $165 billion to $169 billion of revenue for the full year, with about $60 billion from AI servers, and $44 billion to $45 billion in the current quarter. It returned $2.1 billion to shareholders in the quarter through buybacks and dividends.

DELL closed at $317.05 on May 28, the day it reported, and at $420.91 on May 29, up 32.76%. From the May 22 close of $295.19 the week's gain was 42.59%. Those are Lone Star Index calculations from Yahoo Finance closes, and they come a week after the stock rose 21.98%. Dell's last quarterly report lists One Dell Way in Round Rock.

Exxon votes to leave New Jersey

Exxon Mobil shareholders approved moving the company's legal home from New Jersey to Texas at the May 27 annual meeting. The proposal drew 2,216,403,048 votes for and 896,852,562 against, or 71.2% of votes cast, Exxon reported in a filing on May 29. Glass Lewis and Firm Shareholder Services had both recommended against it, NJBIZ reported. The company has been incorporated in New Jersey since 1882 and based in Texas since 1989.

Nothing moves physically. XOM already lists Spring, north of Houston, on its quarterly report. What changes is which state's law governs shareholder rights, and we've put it on the Relo Feed. The stock fell 6.24% on the week.

Returns are our calculations from Yahoo Finance closes. Oracle lists Austin, Hewlett Packard Enterprise Spring, Tesla Austin, Texas Instruments Dallas and McKesson Irving on their most recent quarterly reports.

Our read

Exxon's case for Texas was mostly about courts and predictability. The company said it wants its legal home to match the state it's been run from since 1989, argued that Texas courts take a predictable approach to corporate affairs that leans on the statute, and pointed to the Business Court as built to resolve complex disputes efficiently, according to proxy materials it filed in March.

The proxy advisers' fight was over the fine print. Exxon's letter to Glass Lewis says the adviser's objection focused on Texas laws that allow higher ownership thresholds for shareholder proposals and derivative suits, and Exxon's answer is that it didn't opt into them. Its definitive proxy also says it isn't adopting any elective Texas provisions that weaken shareholder rights compared with New Jersey law. An SMU analysis of the proxy found the new charter and bylaws make no election into either threshold, the proposal rule from SB 1057 or the derivative suit rule from SB 29. Exxon's letter also notes that adding them later would take an amendment to its governing documents, and it says Glass Lewis wasn't willing to trust the board's future judgment. That's why the first change to those documents after the move is the filing we'd read closely.

Dell's quarter is really a guidance story. In February it forecast $138 billion to $142 billion of fiscal 2027 revenue and about $50 billion from AI servers. Three months later it's at $165 billion to $169 billion and about $60 billion. The May release also shows GAAP gross margin fell to 17.8% from 21.1% a year earlier, so the extra revenue is coming in at thinner margins. We'd read the stock as part of the AI hardware trade, and Round Rock doesn't have much to do with that.

Every Texas charter move so far

Counting Tesla in 2024 and Exxon last week, 13 public companies have approved a move to a Texas charter, and seven more have votes on the calendar. One has failed. Texas Capital Bancshares' holders voted it down in April, with more shares against than for.

The terms are where the moves differ. Of the 10 that have closed, seven set a 3% ownership bar for derivative suits and three set none. All 10 named the Texas Business Court as the forum for internal disputes.

Vote figures use whatever base each company's own standard used, votes cast, shares outstanding or voting power, so check the base before comparing two rows. Each company name links to the filing behind its row. Terms for moves that haven't closed show as pending, since the final charter can still change.

Insider buying

John Hinshaw, a Sysco director, bought 13,304 shares of SYY on May 26 at a weighted average of $75.168, about $1,000,035, his Form 4 shows. That brought his stake to about 40,200 shares. Sysco is based in Houston.

Black Stone Minerals director Mark DeWalch bought 37,650 common units of BSM on May 28 at about $13.21, roughly $497,341, and held 431,495 directly afterward, his filing that day shows. The partnership lists Fannin Street in Houston.

Joseph Wm. Foran, chairman and chief executive of Matador Resources, bought 4,675 shares of MTDR on May 27 at about $52.36, or $244,783, per his Form 4. Most of his holdings sit in family trusts. Matador lists Dallas.

Two outside funds that file as 10% owners also bought. Eric Oliver's SoftVest, from Abilene, bought 23,386 units of Cross Timbers Royalty Trust (CRT) on May 26 at about $10.88, its filing shows. The trust's quarterly report gives its trustee's Dallas address. Boston's Opaleye Management bought 73,738 shares of Alpha Cognition (ACOG) from May 27 to May 29, about $434,714, per a Form 4 filed May 29. Alpha Cognition's quarterly report lists Grapevine.

Primoris Services' chief executive also filed a Form 4 for 7,815 shares bought May 27, but it used a grant code rather than a purchase code. We'll look at it again next week. The rest is on Insider Radar.

What to watch

• June 1: Hewlett Packard Enterprise reports its fiscal second quarter, with a webcast at 4 p.m. Central, per its announcement.
• June 6: The Texas Stock Exchange runs its second Saturday industry test, under a May 6 trader alert that targets July 6 for the start of production trading.
• June 10: Oracle reports its fiscal fourth quarter after the close, the company said on June 1.
• June 25: Dell holds its annual meeting, where shareholders vote on moving its legal home from Delaware to Texas, per its proxy statement.

Exxon's charter move is on the Relo Feed with the other Texas headquarters and charter changes we track.

Lone Star Index publishes research, not investment advice.