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  • His net worth slides $11.7 billion amid high AI expectations
  • Dell shares plunge the most on record after posting results

Michael Dell’s wealth tumbled the most in a single day after the computer company he founded posted results that disappointed investors.

Dell’s net worth dropped $11.7 billion to $107.1 billion on Friday as shares of Dell Technologies Inc. fell 18% in New York — the most on record. While the company reported its first quarterly revenue increase in two years, it wasn’t enough to impress investors with high expectations for its AI server business.

Almost half of Dell’s fortune comes from the Texas-based computer maker, which he started 40 years ago while a student at the University of Texas. Another major source of his net worth comes from his stake in Broadcom Inc., whose shares also slid on Friday.

Dell, 59, the company’s chairman and chief executive officer, ranks 13th on the Bloomberg Billionaires Index. In early March, he joined the small group of people with fortunes exceeding $100 billion as surging demand for equipment assisting artificial intelligence computing sent Dell shares to a record high. The stock has tripled in the past 12 months.

Other tech billionaires have also seen their wealth skyrocket amid the blistering rally in AI-related stocks. Nvidia Corp. co-founder Jensen Huang’s net worth briefly surpassed $100 billion earlier this week after another blowout quarter from the chipmaker. He currently sits in 16th place on Bloomberg’s wealth list with $96.3 billion.

Large corporations increasingly need high-powered servers to train and run demanding generative AI tasks, which are sold by Dell and a few other companies.

Written by:  — With assistance from Jack Witzig @Bloomberg

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