On June 4, BofA reiterated the Buy rating on Hewlett Packard Enterprise Company (NYSE:HPE), keeping the price target at $20.
Wamsi Mohan from BofA Securities keeps his positive view on HPE based on the company’s strong growth during Q2 2025. HPE exceeded both the revenue and earnings estimates. The company achieved $7.63 billion in total revenues, up by 7% from a year ago and surpassing estimates by $129.67 million. The EPS was around $0.38, beating the consensus by $0.05. HPE’s quarterly results were boosted by strong performances across its cloud and AI segments.
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Mohan remains optimistic about HPE following the company’s guidance for Q3, with both earnings and revenue expected to surpass consensus. The company expects Q3 2025 earnings between $0.40-$0.45 compared to the consensus of $0.42, while the revenue guidance is between $8.20-$8.50 billion against the analyst consensus of $8.23 billion. Mohan believes that the AI systems orders and the company’s new AI deals will help its growth in the upcoming quarters. HPE has made major developments with new product launches, including advanced private cloud solutions and AI collaborations with Nvidia. The analyst also sees Hewlett Packard’s cost-cutting measures to support its positive outlook.
Hewlett Packard Enterprise Company is a global edge-to-cloud company that provides various products and solutions. Its offerings include cloud services, computing, high-performance computing & AI, intelligent edge, software, and storage.
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