HPE course goal increased to $ 28, while the AI ​​expenses for companies accelerated

Hewlett-Packard Enterprise Company (NYSE:Hpe) is one of the AI stock analysts are closely followed. On August 21, the analyst of Morgan Stanley, Erik Woodring, improved the same weight to overweight with a price target of $ 28.00 (of USD 22.00).

The company’s evaluation reflects the increased corporate expenditure for artificial intelligence (AI) and other HPE products.

The analysts found that their “checks in the quarter signaled healthy corporate expenses across the board, guided by ARI rake or networking -related customers, followed by client devices (strong PC -update) and subsequent servers/storage, whereby the networking growth breaks out for the first time in several quarters.”

The company is looking forward to the HPE analyst day on October 15th as the most important coming catalyst for the company.

“We improve HPE to overweight (from the same weight) with a new price target of $ 28 or 11x our new GJ26 EPS of $ 2.51. Our thesis is easy with the closure of JNPR, we see 18% upward trend to FJ26 consensus, including the more AI exposure (JNPR in XAI cluster), the multiple of HPE becomes over Rate the current 8-time multiple. (3) FCF and/Or Capital Returns Continue to Disappoint vs. Expectations. ”

Hewlett Packard Enterprise Company (NYSE: HPE), an American multinational technology company, offers powerful computer systems, AI software and data storage solutions for the execution of complex AI workloads.

While we recognize the potential of HPE as an investment, we believe that certain AI shares offer higher upward potential and form a less downward risk. If you are looking for an extremely undervalued AI population that also benefits significantly from tariffs from the Trump era and the onshoring trend, you will find our free report on the Best short-term AI.

Read next: 10 AI shares for investors with must-watch-Ai And 10 AI stock analysts follow closely

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