Hewlett Packard Enterprise Company (NYSE:HPE) is one of the best AI networking stocks to buy according to ***** ysts. The company gave investors a fresh AI networking update on June 1, when it reported fiscal second-quarter revenue of $10.7 billion, up 40% from the prior-year period.
The strongest signal came from HPE's networking business. Networking revenue reached $2.7 billion in the quarter, up 148.2% year over year, while Data Center Networking revenue rose 233.3% to $320 million. Cloud & AI revenue also reached $7.7 billion, up 22.9% from the prior-year period, supported by stronger server demand.
The numbers are relevant to the AI networking theme because HPE is no longer just a server and hybrid-cloud story. Its expanded networking portfolio, strengthened by Juniper, gives it exposure to campus, branch, routing, security, and data-center networking demand as enterprises build infrastructure for AI workloads. HPE also raised its fiscal 2026 revenue growth outlook to 29% to 33% and lifted its Networking segment growth outlook to 72% to 75%.
Hewlett Packard Enterprise Company (NYSE:HPE) is an enterprise technology company that brings together AI, cloud, and networking solutions to help organizations modernize infrastructure and improve operational performance.
While we acknowledge the potential of HPE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
The strongest signal came from HPE's networking business. Networking revenue reached $2.7 billion in the quarter, up 148.2% year over year, while Data Center Networking revenue rose 233.3% to $320 million. Cloud & AI revenue also reached $7.7 billion, up 22.9% from the prior-year period, supported by stronger server demand.
The numbers are relevant to the AI networking theme because HPE is no longer just a server and hybrid-cloud story. Its expanded networking portfolio, strengthened by Juniper, gives it exposure to campus, branch, routing, security, and data-center networking demand as enterprises build infrastructure for AI workloads. HPE also raised its fiscal 2026 revenue growth outlook to 29% to 33% and lifted its Networking segment growth outlook to 72% to 75%.
Hewlett Packard Enterprise Company (NYSE:HPE) is an enterprise technology company that brings together AI, cloud, and networking solutions to help organizations modernize infrastructure and improve operational performance.
While we acknowledge the potential of HPE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
13 hours ago
