HPE Raises FY26 Guidance After Record Q3, But Supply Constraints Cap Upside
HPE has more than doubled off its 52-week low of $19.84 on elevated volume (2.9× avg).
Summary
HPE reported record Q3 revenue of $12.2B, up 34% YoY, beating estimates, and raised full-year guidance significantly. Adjusted EPS of $1.11 crushed the $0.93 consensus, and the company lifted FY26 EPS outlook to $3.75-$3.85 from $3.35-$3.45. Revenue guidance also jumped to $45.96B-$46.99B. The stock fell 3.3% premarket despite the beat, as supply constraints—especially memory—limit fulfillment and management expects margins to moderate. A multibillion-dollar hyperscaler server deal secured after quarter end and record backlog support future growth, but the market is focused on the near-term supply bottleneck. This follows yesterday's initial earnings report and adds concrete guidance numbers and the premarket reaction.
At the time of this announcement, HPE was trading at $48.64 on NYSE in the Technology sector, with a market capitalization of approximately $68.6B. The 52-week trading range was $19.84 to $64.25. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Benzinga.