Spring, Texas-based Hewlett Packard Enterprise Company (HPE) delivers solutions that allow customers to capture, analyze, and act upon data seamlessly. Valued at $63.8 billion by market cap, the company provides servers, advanced storage products, high-performance computing, AI-driven platforms, and more.
Companies worth $10 billion or more are generally described as “large-cap stocks,” and HPE fits right into that category with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the communication equipment industry. HPE is a trusted IT brand known for reliability and innovation. Its comprehensive product portfolio, including servers, storage, and networking equipment, makes it a one-stop-shop for enterprise needs. HPE's focus on high-performance computing and edge-to-cloud solutions keeps it at the forefront of tech advancements.
Despite its notable strength, HPE slipped 25% from its 52-week high of $64.25, achieved on Jun. 2. Over the past three months, HPE stock gained 123.2%, outperforming the State Street Technology Select Sector SPDR ETF’s (XLK) 34.1% gains during the same time frame.
Shares of HPE rose 100.5% on a YTD basis and climbed 165.7% over the past 52 weeks, notably outperforming XLK’s YTD gains of 28.4% and 52.4% returns over the last year.
To confirm the bullish trend, HPE has been trading above its 50-day moving average since late March. The stock is trading above its 200-day moving average since late June, 2025, with slight fluctuations.
HPE beat expectations on strong demand for AI, networking, and cloud. The Juniper Networks, Inc. (JNPR) integration is progressing fast, fueling networking gains in campus, branch, and AI-driven networks, plus new self-driving features. In addition, cost savings and synergies are expanding margins, though supply chain limits are slowing revenue conversion. Furthermore, management raised guidance, citing durable AI demand and a record backlog with a pipeline that’s multiples higher.
On May 27, HPE shares closed down more than 2% after reporting its Q2 results. Its adjusted EPS increased 107.9% from the year-ago quarter to $0.79. The company’s revenue stood at $10.7 billion, up 40% year over year. The company expects full-year adjusted EPS in the range of $3.35 to $3.45.
In the competitive arena of communication equipment, Cisco Systems, Inc. (CSCO) has taken the lead over HPE, showing resilience with a 57.2% gain on a YTD basis and an 86% uptick over the past 52 weeks.
Wall Street analysts are moderately bullish on HPE’s prospects. The stock has a consensus “Moderate Buy” rating from the 20 analysts covering it, and the mean price target of $68.65 suggests a notable potential upside of 42.5% from current price levels.
