What's Going On With Hewlett Packard Shares Friday?

Hewlett Packard Enterprise (NYSE:HPE) shares are trading lower Friday after the company reported mixed fourth quarter financial results, issuing mixed guidance.

Hewlett Packard stock is showing positive momentum. What’s next for HPE stock?

What To Know: The company reported adjusted earnings per share of 62 cents, beating the consensus estimate of 58 cents. In addition, the company reported sales of $9.67 billion, missing the consensus estimate of $9.93 billion.

HPE highlighted record quarterly gross profit alongside sharp margin expansion, with both GAAP and non-GAAP gross margins improving from the prior-year period. Annualized revenue run-rate climbed 63% year-over-year, reflecting continued momentum in the company's subscription-driven business.

Segment results were mixed. Networking posted significant growth, Server and Hybrid Cloud declined, and Financial Services held roughly steady. Management pointed to cost controls, portfolio simplification and structural efficiencies as reasons for raising fiscal 2026 diluted net EPS guidance and lifting the midpoint of its free cash flow outlook.

Q1 Outlook: HPE sees adjusted earnings per share between 57 cents and 61 cents, versus the consensus estimate of 54 cents. Furthermore, it sees revenue from $9.00 billion to $9.4 billion, versus the consensus estimate of $9.89 billion.

FY26 Outlook: HPE raised its adjusted earnings per share guidance from between $2.20 and $2.40 to between $2.25 and $2.45, versus the consensus estimate of $1.90. It sees revenue of between $40.12 billion and $41.84 billion, versus the consensus estimate of $34.54 billion.

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HPE Price Action: At the time of writing, HPE shares recovered from losses, trading roughly flat at $22.78, according to data from Benzinga Pro.

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