HPE

Hewlett Packard Enterprise (NYSE:HPE), an enterprise server, networking, storage, and AI infrastructure provider, closed at $54.44, up 5.03%. Investors focused on supply bottlenecks after a strong earnings beat and raised guidance, while watching AI server demand and the next earnings call. Trading volume reached 68.4M shares, coming in about 208% above its three-month average of 22.2M shares. Hewlett Packard Enterprise IPO'd in 2015 and has grown 466% since going public. The S&P 500 (SNPINDEX:^GSPC) rose 1.07% to 7,748, and the Nasdaq Composite (NASDAQINDEX:^IXIC) gained 1.40% to 26,584. Among enterprise hardware, networking, storage, and hybrid cloud infrastructure peers, Dell Technologies (NYSE:DELL) closed at $515.94, up 4.82%, while Cisco Systems (NASDAQ:CSCO) closed at $108.61, down 0.78%, showing mixed trading in AI infrastructure names. If investors are worried that the AI boom might be short-lived, HPE's Q2 results show it may not stall anytime soon. HPE soared past analysts' expectations, with sales and adjusted earnings per share rising 34% and 66%. The company also raised 2026 and 2027 sales growth guidance to between 34% and 37%, and 13% and 17%, respectively. HPE's networking unit stole the show, growing revenue by 75%, headlined by its data center networking unit up 112%, routing business soaring 270%, and security segment spiking 76%. Meanwhile, in the company's Cloud and AI unit, its server business rose 35% -- impressive growth for the company's largest business segment. Antonio Neri, president and CEO of HPE, explained, "AI is becoming a multi-year growth driver for HPE, and our differentiated portfolio positions us to capture that opportunity at scale." Trading at 14 times forward adjusted earnings, HPE could be a reasonably priced growth stock for investors who believe this growth reacceleration is here to stay for a few years or more. Before you buy stock in Hewlett Packard Enterprise, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Hewlett Packard Enterprise wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $446,157!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,377,357!* Now, it’s worth noting Stock Advisor’s total average return is 983% — a market-crushing outperformance compared to 212% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. See the 10 stocks » *Stock Advisor returns as of September 3, 2026. Josh Kohn-Lindquist has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Cisco Systems and Hewlett Packard Enterprise. The Motley Fool has a disclosure policy. Stock Market Today, Sept. 3: HPE Jumps 5%, Raises Fiscal Outlook on Record AI Server Demand was originally published by The Motley Fool

Morningstar lifted its price targets for both companies, citing stronger AI-driven growth and margin opportunities. Snowflake’s results highlighted accelerating enterprise AI demand, though Morningstar warned competition could intensify as agentic AI enthusiasm cools. HPE’s results showed AI spending broadening into servers, networking and hybrid cloud. Snowflake and Hewlett Packard Enterprise delivered strong quarterly reports, but investors reacted very differently, with Snowflake shares surging 24% premarket on Thursday while HPE stock fell about 5%. Morningstar analysts nonetheless raised their price targets for both companies, citing stronger AI-driven growth prospects. See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox Snowflake’s second-quarter revenue rose 35% to $1.55 billion, beating expectations, and the company raised its full-year revenue forecast. Morningstar raised its target on SNOW to $284 from $255, citing stronger AI tailwinds that should benefit both revenue growth and margins. However, the firm cautioned that the company’s recent outperformance is driven primarily by the broader enterprise AI market rather than a unique competitive advantage. “Shares shot up 23% after earnings and look overvalued to us,” Morningstar said, warning that competition could intensify as enthusiasm around agentic AI eventually fades. HPE, meanwhile, reported fiscal third-quarter revenue of $9.2 billion, up 34%, and also raised its annual forecast, following a similarly strong report by rival Dell Technologies earlier this week. Morningstar analysts said the results show AI demand is spreading beyond specialized AI infrastructure into HPE’s broader portfolio, including hybrid cloud, general-purpose servers, and networking. The firm also pointed to HPE’s recent Oracle deal combining Juniper networking products with other hardware for a multigigawatt buildout. Despite the stock’s selloff, Morningstar raised its HPE target to $66 from $64. “We thought earnings were solid and are a bit surprised by the after-hours selloff and view shares as undervalued,” the analysts said. On Stocktwits, the retail sentiment for SNOW increased to nearly the highest-possible in the ‘extremely bullish’ zone (97/100), and the sentiment for HPE also climbed sharply higher to ‘extremely bullish’ (92/100). “$HPE Now trading at a single digit P/E of 9 and change after that beat and raise. One of the best values right now in the AI hardware space with phenomenal management and consistent execution. I sure hopes it opens around this price tomorrow as I'll be opening some long dated bull call spreads,” a trader said. There was skepticism around SNOW. A trader wrote: “$SNOW Almost 25% in AH. This is just, i mean. wow. I don't really buy short positions. But im seriously considering it.” For updates and corrections, email newsroom[at]stocktwits[dot]com. Read Next: Micron, Samsung, SK Hynix Suffer Drop In DRAM Market Share As China’s CXMT Pulls Ahead Yuvraj Malik has no position in any of the stocks mentioned in this article. StockTwits' news team content is for informational purposes only and is not intended as investment advice. For more, see our editorial policy. This article was originally published on StockTwits. Related: TSLA Stock Slips Overnight As Safety Regulator Scrutinizes Cybercab — Retail Fumes Over Event Blackout TSLA Stock Slips Overnight As Safety Regulator Scrutinizes Cybercab — Retail Fumes Over Event Blackout LULU Stock Sinks 18% Overnight: Michael Burry Says Lululemon Is A ‘Trickster’ As He Vows To Buy More Under $100

Hewlett Packard Enterprise (HPE) reported $12.21 billion in revenue for the quarter ended July 2026, representing a year-over-year increase of 33.7%. EPS of $1.11 for the same period compares to $0.44 a year ago. The reported revenue represents a surprise of +0.99% over the Zacks Consensus Estimate of $12.09 billion. With the consensus EPS estimate being $0.95, the EPS surprise was +16.84%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health. Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance. Here is how Hewlett Packard Enterprise performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Net Revenue- Cloud & AI: $9.04 billion versus the five-analyst average estimate of $8.71 billion. Net Revenue- Networking: $2.89 billion compared to the $2.93 billion average estimate based on five analysts. Net Revenue- Cloud & AI- Financial Services: $883 million versus the four-analyst average estimate of $907.37 million. Net Revenue- Cloud & AI- Server: $6.77 billion versus $6.4 billion estimated by four analysts on average. Net Revenue- Corporate Investments and Other: $278 million versus $274.74 million estimated by four analysts on average. Net Revenue- Cloud & AI- Storage: $1.29 billion compared to the $1.22 billion average estimate based on three analysts. Net Revenue- Cloud & AI- Other: $102 million compared to the $163.63 million average estimate based on three analysts. Net Revenue- Networking- Routing: $788 million compared to the $824.23 million average estimate based on two analysts. Net Revenue- Networking- Data Center Networking: $382 million versus $440.02 million estimated by two analysts on average. Net Revenue- Networking- Campus & Branch: $1.44 billion versus the two-analyst average estimate of $1.45 billion. Net Revenue- Networking- Security: $281 million compared to the $288.83 million average estimate based on two analysts. Earnings Before Taxes- Networking: $637 million versus the two-analyst average estimate of $680.55 million. View all Key Company Metrics for Hewlett Packard Enterprise here>>> Shares of Hewlett Packard Enterprise have returned -2.9% over the past month versus the Zacks S&P 500 composite's +2% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hewlett Packard Enterprise Company (HPE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Hewlett Packard Enterprise (NYSE:HPE) shares rose 4.7% to $53.28 in premarket trading on Wednesday ahead of the company’s fiscal third-quarter 2026 earnings report, scheduled for release after the market close. The stock had closed the previous session at $50.87. The move also followed recent analyst actions and quarterly results from Dell, another company with exposure to AI infrastructure. Major U.S. equity benchmarks were trading modestly lower in premarket trading, according to the supplied information. Deutsche Bank initiated coverage of Hewlett Packard Enterprise with a Buy rating and a $62 price target on September 1. Bank of America separately increased its price target on HPE to $82 from $80, citing the company’s position in AI infrastructure. The ratings and price targets represent the respective analysts’ assessments and are not established future share prices. Consensus estimates cited in the supplied information indicate that Hewlett Packard Enterprise is expected to report approximately 32% year-over-year revenue growth for the fiscal third quarter. Analysts also expect earnings per share to more than double compared with the corresponding period a year earlier. HPE has reported earnings per share above consensus estimates in each of its previous four quarters, with an average difference of approximately 16%, according to the supplied information. Previous results do not indicate whether the company will exceed expectations in its upcoming report. Hewlett Packard Enterprise’s AI server backlog stands at $6.3 billion, with approximately two-thirds associated with enterprise and sovereign deployments, according to the supplied information. The backlog provides an indication of contracted or expected demand but does not by itself determine the timing or amount of future revenue recognition. Broadcom is also scheduled to report results on Wednesday, placing additional investor attention on companies with exposure to AI infrastructure. Hewlett Packard Enterprise’s fiscal third-quarter report will provide an update on the company’s financial performance and its AI infrastructure operations. The 4.7% premarket increase comes ahead of those results and after recent analyst actions. However, the extent to which individual factors, including analyst ratings, expectations for the earnings report or results from other technology companies, contributed to the share-price move cannot be established from the supplied information. Hewlett Packard Enterprise stock price

Interested in Hewlett Packard Enterprise Company? Here are five stocks we like better. Record Q3 performance: HPE reported revenue of $12.2 billion, up 34% year over year, with a 40% non-GAAP gross margin, $1.11 in non-GAAP EPS and record third-quarter free cash flow of $958 million. AI demand is accelerating, but supply remains a constraint: Orders rose 42% and backlog reached a record level, while AI systems orders climbed more than 30% sequentially. Memory, NAND flash and other component shortages are limiting revenue conversion and are expected to persist into fiscal 2027. HPE raised its outlook: The company increased its fiscal 2026 EPS and free-cash-flow targets and now expects fiscal 2027 revenue growth of 13% to 17%, EPS of $4.40 to $4.60 and free cash flow of at least $5 billion, supported by networking, AI infrastructure, an Oracle collaboration and a new hyperscaler server deal. The Trade Desk’s Earnings Miss Raises a Bigger Question About Its AI Future Hewlett Packard Enterprise (NYSE:HPE) reported record fiscal 2026 third-quarter results, citing accelerating demand for AI infrastructure, continued networking momentum and disciplined pricing. The company also raised its fiscal 2026 outlook and updated its fiscal 2027 growth framework as orders outpaced revenue and backlog reached a record level. Revenue for the quarter totaled $12.2 billion, up 34% from a year earlier and above the high end of the company’s guidance range. HPE reported a record non-GAAP gross margin of 40%, non-GAAP operating profit of $2 billion and non-GAAP diluted earnings per share of $1.11. GAAP EPS was $1.06. → AST SpaceMobile Is Down 54%—Can FCC Progress and BlueBirds Reverse the Slide? AMD’s Helios Launch Could Create Winners Beyond AMD Stock Free cash flow reached $958 million, HPE’s highest third-quarter result, while operating cash flow was $1.6 billion. Chief Executive Officer Antonio Neri said the company exceeded its financial commitments across revenue, gross margin, operating profit and earnings per share. “AI has become a multi-year growth driver, expanding demand across our HPE portfolio,” Neri said. “Customer demand in the quarter accelerated across both business segments, with orders growing faster than revenues.” → Palo Alto’s Rally Has One Big Problem Ahead of Earnings 5 Tech Stocks Holding Their Ground Through the AI Trade Pullback HPE said normalized order growth was 42% year over year, led by demand for traditional servers, AI systems and networking products. The company said it booked more orders than in any prior quarter, producing a record backlog. However, management said supply constraints continue to limit its ability to convert demand into revenue. Neri cited constraints involving DDR5 and DDR4 memory, NAND flash and other components affected by wafer capacity. HPE is seeking to address the situation through increased purchase commitments, multiyear supplier agreements, alternative product configurations and closer demand planning with customers. → Securing AI: 5 Most-Upgraded Stocks From the Q2 Reporting Season Chief Financial Officer Marie Myers said inventory ended the quarter at $11.8 billion, reflecting higher commodity costs and targeted purchases intended to support rising orders and backlog. HPE’s cash conversion cycle improved by one day sequentially, helped by collections and billing timing, although higher inventory partially offset those gains. Management said supply availability should improve enough to support higher revenue conversion in the fourth quarter, while remaining a constraint into fiscal 2027. Networking revenue was $2.9 billion, up 10% on a normalized basis, while orders increased 36%. Myers said orders grew about 3.5 times faster than revenue, with supply constraints and shipment timing limiting data center networking revenue conversion. Networks for AI orders reached a quarterly record of $700 million and grew by triple digits. Cumulative networks-for-AI orders reached $2.2 billion, surpassing HPE’s previous fiscal 2026 target. The company raised its year-end target for cumulative networks-for-AI orders to between $2.5 billion and $3 billion. Within networking, campus and branch revenue grew 8% on a normalized basis, routing revenue rose 23%, and security revenue increased 12%. Data center networking revenue declined 6% because of supply-constrained shipment timing. Networking operating margin was 22%, in line with HPE’s guidance. HPE also announced an expanded collaboration with Oracle involving routers, switches, software and AI operations capabilities for Oracle’s AI cloud infrastructure build-out. Neri described the deployment as a multiyear, multi-gigawatt opportunity that includes QFX switching products and PTX routing products. The company said a U.S. federal court approved its settlement with the Department of Justice related to the Juniper Networks acquisition in August. Neri said integration and cost-synergy efforts remain ahead of schedule, while Myers reiterated HPE’s target of achieving a $600 million annual run-rate of Juniper-related savings by the end of fiscal 2028. Cloud and AI revenue totaled $9 billion, up 25%, exceeding HPE’s outlook. The segment generated operating profit of more than $1.5 billion and an operating margin of 17%, which increased 460 basis points sequentially. Server revenue rose 35%, driven by higher average selling prices in traditional servers, which offset supply-constrained unit volumes. Management said traditional server orders increased by a strong double-digit percentage year over year. HPE expects unit volumes to strengthen in the fourth quarter as supply becomes more available, though constraints are expected to persist. AI systems orders were $2.4 billion, up more than 30% sequentially, while AI systems revenue was nearly $1.6 billion. HPE expects AI systems revenue to improve sequentially in the fourth quarter as backlog converts to revenue. After the quarter ended, HPE said it received a multibillion-dollar server deal from a hyperscaler customer for internal AI inferencing usage. Neri emphasized that the transaction involves traditional servers for the customer’s own use rather than the type of cloud infrastructure deployments HPE had previously pursued with large hyperscalers. Storage revenue increased 10%, aided by demand for higher-value owned intellectual property and private cloud offerings. Private Cloud AI orders grew by triple digits, while Alletra Storage MP orders and revenue also increased by strong double-digit percentages, according to management. HPE GreenLake customers rose 18% year over year to 52,000. The company also said HPE Financial Services recorded third-quarter highs in financing volumes, residual value and return on equity as customers sought financing options for AI investments. For the fiscal fourth quarter, HPE expects revenue of $13.9 billion to $14.8 billion. It forecast networking revenue growth of 11% to 13% and cloud and AI revenue growth of 60% to 72%. The company expects non-GAAP EPS of $1.20 to $1.30 and GAAP EPS of $1.12 to $1.22. HPE raised its fiscal 2026 non-GAAP EPS outlook to $3.75 to $3.85 and its GAAP EPS outlook to $2.93 to $3.03. It also increased its fiscal-year free-cash-flow target to at least $3.75 billion. For fiscal 2027, HPE now expects consolidated revenue growth of 13% to 17%, networking growth of 14% to 17%, and cloud and AI growth of 14% to 18%. The company forecast EPS of $4.40 to $4.60 and free cash flow of at least $5 billion. Management said the fiscal 2027 framework includes some contribution from the Oracle collaboration and the recently announced hyperscaler inferencing deal. It does not include potential revenue from the AMD Helios opportunity, which HPE expects to become available for ordering later in the calendar year. HPE returned $324 million to common shareholders during the quarter through $189 million in dividends and $135 million in share repurchases. The company said it exited the quarter with net leverage of 1.8 times, below its target of two times, and plans to return at least 75% of free cash flow to shareholders in the fourth quarter. Hewlett Packard Enterprise (HPE) is an enterprise technology company that designs, develops and sells IT infrastructure, software and services for business and government customers. Its core offerings span servers, storage, networking, and related software, together with consulting, integration and support services aimed at modernizing and managing enterprise IT environments. HPE's product portfolio includes systems for traditional data centers as well as solutions for high-performance computing, edge computing and telecommunications infrastructure. A major focus for HPE is hybrid cloud and consumption-based IT. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Hewlett Packard Enterprise Q3 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for September 2026.

HPE delivered $1.11 in Q3 earnings per share (EPS) and $12.2 billion in revenue, beating analyst estimates on both metrics. The company expects Q4 EPS of $1.20-$1.30 and revenue of $13.9 billion-$14.8 billion, both above consensus. Stocktwits traders remained bullish on HPE despite the stock falling after-hours following the strong results. Hewlett Packard Enterprise (HPE) reported a strong third quarter for fiscal 2026, beating estimates on both earnings and revenue and raising its outlook for the rest of fiscal 2026 and 2027. Despite the strong report and higher guidance, HPE shares were down around 5% in after-hours trading at the time of writing. The after-hours decline suggests investors had concerns about HPE’s outlook despite the strong results. During the earnings call, management said operating margins are expected to decline sequentially, mainly due to a higher mix of AI systems and pricing. Management also said supply constraints continue to limit HPE’s ability to meet higher customer demand, adding that the company is working closely with partners to secure additional multi-year supply agreements. See what 10M+ investors are talking about. Get the Stocktwits Daily Rip for what retail is watching right now, free to your inbox HPE reported fiscal third-quarter adjusted earnings per share (EPS) of $1.11, which was above analyst estimates of $0.92, according to Fiscal.ai. Revenue rose 34% year over year to $12.2 billion, beating consensus estimates of $11.99 billion. For the fourth quarter, HPE expects EPS of $1.20 to $1.30, above the $1.07 consensus estimate. The company expects Q4 revenue of $13.9 billion to $14.8 billion, also ahead of the $13.04 billion consensus estimate. HPE raised its fiscal 2026 EPS outlook to $3.75 to $3.85 from its previous range of $3.35 to $3.45. The new range is also above the $3.45 consensus estimate, according to Fiscal.ai. The company raised its fiscal 2026 revenue growth outlook to 34% to 37%, compared with its previous forecast of 29% to 33%. HPE also raised its revenue growth expectations for its Networking segment to 73% to 74%. HPE expects free cash flow of at least $3.75 billion for fiscal 2026. The company also raised its fiscal 2027 outlook. HPE now expects EPS growth of 16% to 20%, compared with its previous view of 12% to 16%. HPE raised its fiscal 2027 revenue growth framework to 13%-17% and now expects free cash flow of at least $5 billion. HPE announced an expanded collaboration with Oracle (ORCL) to help scale Oracle’s global AI infrastructure by deploying HPE Juniper Networking across Oracle’s AI data centers. The expanded collaboration builds on more than a decade of engineering work between Oracle and Juniper Networks and includes networking support services and financing capabilities. HPE Juniper Networking routing and switching platforms currently support key parts of Oracle Cloud Infrastructure’s data center and edge networks. As Oracle expands its AI superclusters, those networks will face greater demands on bandwidth, latency, congestion management and fault recovery. As part of the agreement, HPE has issued Oracle warrants to purchase shares of HPE common stock. On Stocktwits, retail sentiment for HPE jumped to ‘extremely bullish’ from ‘bullish’ over the past 24 hours, while message volume was ‘high’ at the time of writing. Despite the strong results, a Stocktwits retail trader questioned the decline in HPE shares, asking, “What else is market looking for?” Another trader took a more optimistic view, saying HPE’s earnings beat and raised guidance should eventually support the stock, even if shares were not reacting positively immediately. A third trader was even more bullish, pointing to the company’s higher guidance for both 2026 and 2027. The trader said the outlook made HPE a “no brainer” and indicated they were adding to their position. HPE stock has gained 114% year-to-date. Also See: AVAV Stock In Focus As AeroVironment Wins $465M Army Laser Weapons Contract For updates and corrections, email newsroom[at]stocktwits[dot]com. Aveek Bhowmik has no position in any of the stocks mentioned in this article. StockTwits' news team content is for informational purposes only and is not intended as investment advice. For more, see our editorial policy. This article was originally published on StockTwits. Related: Why Did PCG, NIO, XPEV Stocks Drop To 52-Week Lows Today? Why Did PCG, NIO, XPEV Stocks Drop To 52-Week Lows Today? RKLB Stock Snaps 3-Day Slide: Investors Shrug Off CFO’s $8.8M Sale As Rocket Lab Scores 94th Launch Win

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. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +16.84%. A quarter ago, it was expected that this information technology products and services provider would post earnings of $0.54 per share when it actually produced earnings of $0.79, delivering a surprise of +46.3%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Hewlett Packard Enterprise, which belongs to the Zacks Computer - Integrated Systems industry, posted revenues of $12.21 billion for the quarter ended July 2026, surpassing the Zacks Consensus Estimate by 0.99%. This compares to year-ago revenues of $9.14 billion. The company has topped consensus revenue estimates two times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Hewlett Packard Enterprise shares have added about 111.8% since the beginning of the year versus the S&P 500's gain of 11.5%. While Hewlett Packard Enterprise has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Hewlett Packard Enterprise was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.06 on $12.68 billion in revenues for the coming quarter and $3.44 on $45.23 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Computer - Integrated Systems is currently in the top 17% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Micron (MU), is yet to report results for the quarter ended August 2026. The results are expected to be released on September 30. This chipmaker is expected to post quarterly earnings of $31.39 per share in its upcoming report, which represents a year-over-year change of +936%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Micron's revenues are expected to be $50.76 billion, up 348.6% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Hewlett Packard Enterprise Company (HPE) : Free Stock Analysis Report Micron Technology, Inc. (MU) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Dell booked $60.9 billion in AI server orders in one quarter, yet shares fell 7% as investors questioned whether rapid scaling can sustain margins. Dell's single-quarter order intake rivals Super Micro's entire fiscal 2026 bookings and dwarfs HPE's cumulative $16 billion in AI systems bookings. ISG operating margin nearly doubled to 15% while free cash flow fell 47%, exposing the working capital cost of scaling AI hardware. Just released. Our analysts combed the entire stock market and named the ten best stocks to buy right now. The report is free. Enter your email and see if any of your stocks made the cut. Dell (NYSE:DELL) just reported one of the largest single-quarter guidance raises in enterprise hardware history, and the number under the microscope is the one Jeff Clarke put front and center: $60.9 billion in AI server orders booked in a single quarter, with an ending AI backlog of $95 billion. Dell Technologies also said its pipeline is still larger than its backlog, a claim worth interrogating rather than repeating. The load-bearing question for investors is whether an AI server business scaling this fast can also carry acceptable margins, because assembling NVIDIA-powered racks has historically been thin-margin work compared with Dell's storage and traditional server portfolio. Shares closed down 6.8% to $425 despite the beat, suggesting the market is already asking the same question. Dell recognized $16.4 billion in AI-optimized server revenue, roughly double the prior year, and lifted full-year revenue guidance by $25 billion to $192 billion. The AI server outlook now sits at $74 billion for the year, up 200% year over year. Non-GAAP EPS came in at $7.04 against a $4.8994 consensus, per Dell's 8-K exhibit. The single-quarter order intake sits awkwardly next to Super Micro Computer (NASDAQ:SMCI), which booked over $60 billion in new orders across all of fiscal 2026. Dell captured a similar figure in three months. Free Report, Just Released Did Any of Your Stocks Make the Top 10 List? It is an uncomfortable question, and there is now an answer to it. 24/7 Wall St has helped investors make money for over two decades, and our top analysts just finished ranking the definitive Top 10 Stocks To Buy Now. Not the ten biggest companies. Not the ten everyone is arguing about. The ten best stocks to buy right now. Open your account and look at what you own. Some of it you bought for a reason you could still defend today. Some of it you bought years ago for a reason you can no longer remember. The report is free. Put the ten next to what you own and find out which is which. Enter Your Email and See the Ten → Free from 24/7 Wall St. It lands in your inbox. Hewlett Packard Enterprise (NYSE:HPE) offers another useful contrast, with cumulative AI systems bookings of $16.4 billion reported through its fiscal Q2, roughly what Dell just recognized in a single quarter. HPE's Juniper-driven networking angle matters for its own thesis, but the raw compute pipeline is not a fair comparison. Speaking on CNBC on September 2, 2026, Dell's COO framed the momentum this way: "AI demand is still accelerating, with a record $60.9 billion in orders in our fiscal Q2 and a record $95 billion backlog." Dell's CEO said, "These aren't just commodity server deployments." That claim is testable, and the evidence partly cooperates. Infrastructure Solutions Group operating margin expanded to 15.0% from 8.8% year over year, with operating income up 225%. Mix and pricing discipline are genuinely improving as volume increases. Management said some engagements require upwards of 50 unique designs across power, cooling, and data center layout (the same non-chip suppliers we profiled in a free report on the AI buildout, here), and Dell shipped the first rack systems on the NVIDIA Vera Rubin platform. Its AI customer count exceeds 6,500, with 3,300 added in the last three quarters. Concentration remains the harder question. A headline customer count says little about where the dollars actually sit, and sovereign and neocloud deals in this market routinely run into the billions each. Broadening demand into enterprise is a claim management is making, and one that will show up cleanly in ISG margin durability over the next two quarters or not at all. NVIDIA (NASDAQ:NVDA) benefits upstream from every Dell rack shipped. Jensen Huang referenced Dell systems directly on his fiscal Q2 call, and NVIDIA's Vera Rubin production shipments began earlier in August. Dell functions as one of NVIDIA's most important enterprise distribution channels. The uncomfortable number sits below the top line. Free cash flow fell to $986 million, down 47.22% year over year, even as revenue set a record. Building this much hardware consumes inventory and supplier prepayments long before customers settle. NVIDIA warned on its own call about extreme pricing conditions in memory that are set to rise into next year. Dell is supply-constrained across both AI and traditional servers, which puts pressure on the mix story because DRAM and HBM inflation hits Dell's balance sheet before it flows through to customer pricing. Dell also carries negative shareholders' equity of $1.427 billion, a long-running feature of the post-EMC capital structure. It is not a solvency concern given cash generation, although it does constrain how aggressively management can lean into working capital without adding debt. Capital returns continued regardless. Dell sent $4.3 billion back to shareholders in the quarter, including 9.5 million shares repurchased at an average price of $401. Dell shares are up 240.76% year to date and 252.39% over the past year, which explains why a 43.69% EPS beat did not push the stock higher. Expectations had already caught up to the fundamentals. Super Micro is the more speculative alternative, up 25.42% year to date, with GAAP gross margin volatility Dell simply does not exhibit. HPE at 113.67% year-to-date carries a networking-led thesis for investors focused on Juniper synergies. Dell is the higher-quality operator among the three, with a better margin trajectory, deeper deployment capabilities, and a capital return program that its peers cannot match. Memory cost pressure and working capital drag are real, although the guidance raise suggests management is pricing them in. If you have cash sitting in your account right now, give this two minutes. After more than two decades of helping investors beat the market, our top analysts at 24/7 Wall St. put together a definitive report on the Top 10 Stocks To Buy Today. They combed the entire market. It's not 10 ideas, not 10 stocks everyone is talking about, it's what their research point to as the 10 best stocks to buy right now, and it's free. Read more here and >;elm:context_link;itc:0;sec:content-canvas" data-yga="{"yLinkElement":"context_link","yModuleName":"content-canvas","yLinkText":"see which stocks made the cut -->"}" class="link ">see which stocks made the cut -->> Contact [email protected] for any questions or corrections.