Hewlett Packard Enterprises (HPE) Jumps 28% on AI Rally and New Announcements

Quick overview

In premarket trading Tuesday, Hewlett Packard Enterprises (HPE) shares shot up nearly 30% as part of a wider market rally among AI-related stocks.

HP futures gained 9.4% on Monday in afternoon trading and then went sky high with an increase of 28.4% on Tuesday. The jump can be attributed to both a tech stock rally (particularly for AI stocks) and Hewlett Packard’s announcement of a new AI-focused server.

Other tech stocks climbed sharply Monday and Tuesday, including Marvell (MRVL), Dell (DELL), and Nvidia (NVDA). Many tech futures rose to fresh highs at the same time that the U.S. stock indices set fresh records, including the Dow Jones Industrial Average, the S&P 500, and the Nasdaq Composite. Investors may want to temper expectations, however, and prepare for a drop-off since the ongoing Iran-U.S. conflict reached an impasse this week with the Iranian government refusing to open the Strait of Hormuz until its conditions are met.

HP Lifted on Healthy Market Sentiment

Hewlett Packard may be up today, but it is not entirely of its own doing. The company is benefitting from a strong upswing among technology stocks, particularly Dell Technologies, which posted exceptionally high Q1 2027 earnings. Demand for AI servers is up for the entire sector, and that lifts Hewlett Packard’s prospects as well.

HPE reported strong earnings at the end of April. Their year-over-year net revenue went from $7,627 million to $10,678 million. The bullish sentiment in the market right now could ensure that they perform even better for the next quarterly report.

This week, HPE announced a new server when they attended the COMPUTEX 2026, which started Tuesday. They revealed the ProLiant Compute DL394 Gen12, which is a server that utilizes the Vera CPU from Nvidia and is able to handle complicated agentic AI requests. The reveal was enough that several financial firms increased their price targets for HPE stock, and Tuesday’s strong bullish movement could help push those targets even higher.

For the year so far, Hewlett Packard stock has moved from $23 per share to its current price of $60 per share- an increase of 160%. This places HOE among the top performing tech stocks this year so far. Investors should note that the stock has been overwhelmingly bullish for most of the year, but lengthy, strong upswings can often be followed by market corrections.

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Timothy St. John

Financial Writer - European & US Desks

Timothy St John is a seasoned financial analyst and writer, catering to the dynamic landscapes of the US and European markets. Boasting over a decade of extensive freelance writing experience, he has made significant contributions to reputable platforms such as Yahoo!Finance, business.com: Expert Business Advice, Tips, and Resources - Business.com, and numerous others. Timothy's expertise lies in in-depth research and comprehensive coverage of stock and cryptocurrency movements, coupled with a keen understanding of the economic factors influencing currency dynamics. Timothy majored in English at East Tennessee State University, and you can find him on LinkedIn.

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