TLDR
- HPE stock rose more than 3% in premarket Wednesday after Super Micro reported strong AI-server demand and better-than-expected margin guidance
- HPE posted Q2 EPS of $0.79 vs. the $0.54 estimate, with revenue of $10.68 billion, up 40% year-over-year
- Wall Street analysts raised price targets sharply, with Bank of America going to $80 and JPMorgan to $68; consensus is Moderate Buy at $64.65
- Next earnings are estimated for Sept. 2, 2026, with Wall Street expecting EPS of $0.90 and revenue of $11.92 billion
- Technical indicators show HPE trading well above all major moving averages, with resistance near $51.00 and support around $44.50
Hewlett Packard Enterprise (HPE) stock was up more than 3% in premarket trading Wednesday, hitting $48.19, after Super Micro Computer posted strong preliminary Q4 results that sent a positive signal across the AI server space.
Hewlett Packard Enterprise Company, HPE
Super Micro reported a robust AI-server order backlog and stronger-than-expected margin guidance. That was enough to lift HPE, Dell, and other names tied to AI infrastructure.
Jim Cramer added fuel to the rally Tuesday evening, posting on X that if Super Micro “did that well,” Dell “should be incredible.” The comment reinforced the read-through for broader server demand.
HPE’s move came despite a weak broader market. Nasdaq futures were down 0.75% and S&P 500 futures fell 0.30%, making the premarket gain stand out.
Strong Earnings Already in the Books
HPE’s most recent quarterly results, reported June 1, were already turning heads. The company posted EPS of $0.79 against a consensus estimate of $0.54 — a beat of $0.25. Revenue came in at $10.68 billion, well ahead of the $9.78 billion expected and up 40% from the same quarter last year.
That followed a string of analyst upgrades. On June 2, Bank of America raised its price target from $38 to $80, JPMorgan went from $37 to $68, Citigroup moved from $39 to $70, and Raymond James lifted its target from $29 to $74.
The current analyst consensus sits at Moderate Buy with an average price target of $64.65.
HPE also set its FY2026 guidance at $3.35–$3.45 EPS and Q3 2026 guidance at $0.88–$0.93.
What’s Ahead
The next major catalyst is the estimated earnings report on Sept. 2, 2026. Wall Street is projecting EPS of $0.90 — more than double the $0.44 posted a year earlier — and revenue of $11.92 billion, up from $9.14 billion.
On the technical side, HPE is trading above all major moving averages. The stock sits roughly 10% above its 50-day moving average and more than 69% above its 200-day moving average. The RSI stands at 53.12, suggesting neutral momentum with room to move higher.
Resistance is near $51.00, with support around $44.50.
Institutional ownership stands at 80.78%. Vanguard holds over 173 million shares, and Capital World Investors opened a new position worth about $901 million in Q4.
On the insider side, CFO Marie Myers sold 93,583 shares at $30.01 on May 5, and SVP Kirt Karros sold 18,785 shares at $48.50 on June 22, both under pre-arranged 10b5-1 plans.
HPE’s 12-month range sits between $19.64 and $64.25, with the stock currently trading well above the midpoint.
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