We just covered the Top 10 Stock Picks of Billionaire Paul Singer. Hewlett Packard Enterprise Co (NYSE:HPE) ranks #6 (see Top 5 Stock Picks of Billionaire Paul Singer).
Elliott’s Stake: $652,911,510
HPE is surging as the company posted strong quarterly results and raised its full-year outlook. It’s proving to be one of the most profitable bets of Singer.
HPE is well-positioned for the AI revolution. It operates at the infrastructure layer that powers AI workloads. It builds AI-optimized servers, storage systems, and high-performance computing clusters. These are the physical machines used to train and run large AI models. HPE’s core stack includes compute, storage, and high-speed networking. This forms the backbone of AI infrastructure. All three components are seeing rising demand. Companies are scaling GPU-heavy workloads and building larger AI clusters.
GreenLake is another major growth catalyst for HPE. It is HPE’s hybrid cloud platform, which delivers infrastructure on a consumption-based model. GreenLake serves around 50,000 customers. This reflects strong enterprise adoption.
Ariel Investments’ Global Fund stated the following regarding Hewlett Packard Enterprise Company (NYSE:HPE) in its Q4 2025 investor letter:
“We initiated a position in Hewlett Packard Enterprise Company (NYSE:HPE), a global provider of enterprise hardware solutions including servers, networking and storage. The company recently completed its acquisition of Juniper Networks, strengthening its position in networking, a higher-margin business that improves HPE’s overall financial profile. Despite this strategic move, the stock has lagged due to cautious guidance and a history of inconsistent execution. However, we think upcoming product refreshes in servers, growth in AI-driven infrastructure and networking demand tied to data centers could serve as catalysts. Additionally, activist involvement in the name adds a layer of accountability and potential upside. In our view, HPE offers an attractive opportunity for investors willing to look beyond short-term sentiment and focus on long-term transformation (Click Here to Read the Letter in Detail).”
Paul Singer of Elliott Management
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 the cheapest AI stock.
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