Updated from 3:55 p.m.

PC maker

Dell

(DELL) - Get Report

was up 8.1% at the market's close after reaffirming guidance for the third quarter. The company's quarter officially ends Nov. 2, and it plans to post results Nov. 15.

In mid-August, Dell said it was targeting earnings of 15 cents to 16 cents a share on revenue of $7.2 to $7.6 billion for the third quarter.

Dell said fundamental demand for orders rebounded more quickly than anticipated following the terrorist attacks on Sept. 11. The company also attributed its results to successfully pursuing new customers and managing expenses.

The company said that while conditions in the computer hardware sector remain difficult, the company's position is "better than it's ever been."

The announcement is a surprise to investors who were expecting the company to trim estimates in light of rival Compaq's (CPQ) warning on Monday of a third-quarter loss.