AI infrastructure powered Hewlett Packard Enterprises' earnings triple play
Shares of Hewlett Packard Enterprise Co (NYSE:NPE) are surging as much as 30% higher before the bell this morning, slated to open above $60 for the first time ever. The AI-focused computer hardware name is fresh off a fiscal second-quarter earnings of 79 cents on revenue of $10.7 billion, both of which blew past estimates, while also hiking its full-year revenue growth outlook.
This marks the tech company's biggest earnings beat since 2018, driven by increased demand for AI infrastructure. Should these gains hold, it will mark HPE's eighth daily win in nine sessions and a new record peak. HPE has already nearly doubled since the start of 2026.
No fewer than seven analysts have chimed in with price-target hikes in response, the highest from Morgan Stanley to $71 from $33. Analysts have been split toward the tech name, with 11 of the 20 in coverage sporting a "hold" recommendation.
Options traders have been bullish toward HPE in recent weeks. This is per the equity's 10-day call/put volume ratio of 4.01 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which ranks in the 76th annual percentile. Echoing this, its Schaeffer's put/call open interest ratio (SOIR) of 0.46 ranks in the 6th percentile of annual readings.
HPE's Schaeffer's Volatility Scorecard (SVS) comes in at 79 out of 100. This suggests the equity has consistently realized higher volatility than its options have priced in.