Argus Raises Price Target on Hewlett Packard Enterprise (HPE) Following Strong AI-Driven Growth

Hewlett Packard Enterprise Company (NYSE:HPE) ranks among the best tech stocks to buy now for the “Vera Rubin” chip cycle. On June 3, Argus increased its price target for Hewlett Packard Enterprise Company (NYSE:HPE) to $70 from $30 while retaining a Buy rating on the company’s shares, emphasizing AI momentum and solid quarterly results. Analyst Jim Kelleher stated that Hewlett Packard Enterprise Company (NYSE:HPE) exceeded average revenue and non-GAAP EPS projections for the second quarter of 2026.

The company’s results exceeded Wall Street’s forecasts of $9.8 billion in revenue and $0.53 in EPS. The performance was driven primarily by a 148% gain in the Networking segment and a 23% rise in the Cloud & AI segment.

While the development of agentic AI is strengthening its conventional server business, the company is incorporating AI throughout its service offerings, including networking. During its investor event in October 2025, management explained how AI infrastructure investments and the acquisition of Juniper would enhance networking capabilities, improve financial performance, and support strategic expansion.

Hewlett Packard Enterprise Company (NYSE:HPE) operates as a global technology provider focused on intelligent solutions. Its platforms help customers capture, analyze, and act on data from edge to cloud. The customer base ranges from small and medium-sized businesses to large enterprises and government organizations.

While we acknowledge the risk and potential of HPE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than HPE and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years 

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1