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We recently compiled a list of the 10 Stocks Trade Weaker on Disappointing News. In this article, we are going to take a look at where Hewlett Packard Enterprise Company (NYSE:HPE) stands against the other stocks.
Wall Street finished the trading week on a strong note, with all major indices recording gains as investors digested the latest US jobs data, which fell short of expectations.
The tech-heavy Nasdaq posted the largest gain with 0.70 percent, followed by the S&P 500 with 0.55 percent, and the Dow Jones by 0.52 percent.
Ten companies across mixed sectors bucked a wider market optimism, ending Friday in the red territory. In this article, we have listed the 10 worst-performing names and detailed the reasons behind their performance.
To come up with the list, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.
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Hewlett Packard Enterprise Company (NYSE:HPE)
Hewlett Packard Enterprise Company (NYSE:HPE) fell by 11.97 percent on Friday to end at $15.81 each as investor sentiment was dampened by its mixed earnings performance in the first quarter of fiscal year 2025 while guiding a significantly worse 2025 than what Wall Street analysts had expected.
In the first quarter, Hewlett Packard Enterprise Company (NYSE:HPE) said net income attributable to shareholders rose by 54 percent to $598 million from $387 million in the same period a year earlier, as revenues rose 16 percent to $7.854 billion from $6.755 billion year-on-year.
Analysts expected the company to post $7.8 billion in revenues or $0.50 per share, as against Hewlett Packard Enterprise Company (NYSE:HPE)’s $0.49 recorded EPS.
Looking ahead, Hewlett Packard Enterprise Company (NYSE:HPE) estimates revenues to be in the range of $7.2 billion and $7.6 billion.
Overall HPE ranks 2nd on our list of Friday's worst performers. While we acknowledge the potential of HPE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than HPE but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.