Hewlett Packard Enterprise lifts fiscal 2026 and 2027 targets as enterprise AI demand broadens and networking orders surge beyond available supply.
Hewlett Packard Enterprise (NYSE:HPE) stock is down 6.1% to trade at $49.17 this morning, even after the tech company reported adjusted fiscal third-quarter earnings of $1.11 per share on $12.2 billion in revenue, both of which topped forecasts.
Hewlett Packard Enterprise Co (NYSE:HPE, XETRA:2HP) beat analyst expectations for its fiscal third quarter and raised its full-year guidance, citing broad-based demand and record orders and backlog as the company positions itself for a surge in agentic AI spending. Management raised its FY26 EPS guidance to $3.75-$3.85 and forecast free cash flow of at least $3.75 billion.
Hewlett Packard Enterprise raised its annual forecasts on Wednesday after delivering a stronger-than-expected July quarter, as accelerating demand for artificial intelligence infrastructure lifted server and networking sales. However, shares fell over 5% during extended trading as investors were likely assessing how sustainable the margin gains will be as AI systems make up a larger share of the product mix and supply constraints remain.
Although the revenue and EPS for Hewlett Packard Enterprise (HPE) give a sense of how its business performed in the quarter ended July 2026, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Hewlett Packard Enterprise (HPE) came out with quarterly earnings of $1.11 per share, beating the Zacks Consensus Estimate of $0.95 per share. This compares to earnings of $0.44 per share a year ago.
Unlike Dell, however, HPE focuses on enterprise and sovereign customers, which an analyst says have a better profit profile.
Investors with an interest in Computer - Integrated Systems stocks have likely encountered both Hewlett Packard Enterprise (HPE) and Advanced Micro Devices (AMD). But which of these two stocks is more attractive to value investors?
HP Enterprise stock jumped by 4% in extended hours after Dell, its top competitor, announced strong financial results, which drove its shares up by nearly 10%. HPE jumped to $53.45, up modestly from Tuesday's close of $50 as focus now shifts to its earnings.
HPE and Snowflake report earnings the same night, forcing a direct choice between two very different bets on enterprise tech. For retirement-focused investors, the gap between these two stocks runs much deeper than dividends versus growth.
Hewlett Packard Enterprise's Q3 results are likely to gain from AI infrastructure, networking and hybrid cloud demand as its expanded portfolio drives growth.
The mean of analysts' price targets for Hewlett Packard Enterprise (HPE) points to a 25.5% upside in the stock. While this highly sought-after metric has not proven reasonably effective, strong agreement among analysts in raising earnings estimates does indicate an upside in the stock.