Enterprise technology company Hewlett Packard Enterprise (NYSE: HPE) will be reporting earnings this Wednesday after market close. Here’s what to expect.
Hewlett Packard Enterprise beat analysts’ revenue expectations last quarter, reporting revenues of $10.68 billion, up 40% year on year. It was an incredible quarter for the company, with an impressive beat of analysts’ ARR estimates.
Is Hewlett Packard Enterprise a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Hewlett Packard Enterprise’s revenue to grow 31.2% year on year, improving from the 18.5% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Hewlett Packard Enterprise has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Hewlett Packard Enterprise’s peers in the hardware & infrastructure segment, some have already reported their Q2 results, giving us a hint as to what we can expect. HP delivered year-on-year revenue growth of 12.5%, beating analysts’ expectations by 7.5%, and Everpure reported revenues up 37.7%, topping estimates by 7.7%. HP traded down 2.8% following the results while Everpure was also down 8.7%.
Read our full analysis of HP’s results here and Everpure’s results here.
Investors in the hardware & infrastructure segment have had steady hands going into earnings, with share prices up 1.5% on average over the last month. Hewlett Packard Enterprise is up 4.3% during the same time and is heading into earnings with an average analyst price target of $65.28 (compared to the current share price of $52.40).
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