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Hewlett Packard Enterprise’s stand during the Mobile World Congress (Josep Lago/Getty Images)

HPE plunges after announcing cost-cutting plan and underwhelming outlook

Hewlett Packard Enterprise “could have executed better,” per its CEO.

3/6/25 5:42PM

HP Enterprise’s stock tanked over 17% in after-hours trading on Thursday after reporting a mild revenue beat in its latest quarter and issuing weak guidance for the present quarter and full year.

The data center equipment maker reported $7.85 billion in first-quarter revenue, marking a 17% rise from the year before on a constant currency basis and above consensus estimates of $7.81 billion according to analysts polled by Bloomberg. Adjusted earnings per share, meanwhile, came in at $0.49, roughly in line with analyst estimates of $0.50.

Going forward, the company disappointed investors on several measures. For its second quarter, the company said it expects adjusted earnings between $0.28 to $0.34 per share, coming in below analyst estimates of $0.48, with revenue between $7.2 billion and $7.6 billion, below forecasts of $7.94 billion.

For the full year, the company expects adjusted earnings per share in a range of $1.70 to $1.90, under analysts’ estimates for $2.12 per share, with revenue growth between 7% and 11%, in line with what analysts had penciled in.

President and CEO Antonio Neri said the company “could have executed better in some areas in the quarter,” particularly in its server segment. The segment, which composes a majority of the company’s overall revenue, saw strong 29% revenue growth but with tighter operating margins, down to 8.1% from 11.4% a year ago. The company’s overall adjusted gross profit margin also fell, down to 29.4% from 36.2% a year prior.

The company said it will be executing a cost reduction program, including cuts to its workforce, through 2026 in order to reduce structural operating costs and deliver profit growth. The plan will save approximately $350 million by fiscal year 2027, the company said.

HPE’s stock has come under pressure recently, losing about 26% through today’s market close since notching an all-time high in January, largely due to an antitrust lawsuit from the Justice Department over the company’s efforts to acquire Juniper. The DOJ alleges the deal, worth about $14 billion, would harm competition in the enterprise wireless equipment market, bringing the industry’s three main players — HPE, Juniper, and Cisco Systems Inc. — to just two that would control a combined 70% of the market.

Jake Lahut6h

Applied Digital inks new $7.5 billion lease with hyperscaler it first booked in April

Applied Digital saw its price soar after hours on news of a long-term lease agreement with the same “investment-grade” hyperscaler it struck a similar deal with in April.

The additional lease for 15 years in a take-or-pay arrangement is valued at $7.5 billion, and could rise to $18.2 billion if all options are exercised, according to the company's announcement.

This latest contract would bring Applied Digital's total contracted lease revenue to $31 billion, or $73 billion if all options are taken up.

The company also crowed about passing 1 GW of contracted capacity as it lands a customer for its fourth AI factory campus. The customer in question is not named, nor the exact location, just that the campus is “located in a northern state.”

Applied Digital Reaches Significant Milestone, Surpassing 1 GW of Contracted Capacity with U.S. Based High Investment-Grade Hyperscaler Lease at Fourth Campus, Polaris Forge 3

The additional lease for 15 years in a take-or-pay arrangement is valued at $7.5 billion, and could rise to $18.2 billion if all options are exercised, according to the company's announcement.

This latest contract would bring Applied Digital's total contracted lease revenue to $31 billion, or $73 billion if all options are taken up.

Paige Oamek7h

Intuit plummets after reporting slowing revenue growth

Is it a worse day to be an Intuit employee or an Intuit shareholder?

On Wednesday, the financial and business tech company announced third-quarter earnings and sweeping layoffs on the same day. The TurboTax parent company said it would cut 17% of its workers — approximately 3,000 people — to focus on its AI efforts, according to a memo obtained by Reuters.

The stock was down 3.8% during market hours. It dropped further when Intuit released third-quarter results after the bell showing the slowest year-over-year revenue growth since 2024, falling 10% after-hours.

Here are the numbers:

Q3 revenue of $8.56 billion (compared to analyst estimates of $8.54 billion).
Adjusted earnings per share of $12.80 (estimate: $12.54).
Raised full-year guidance for revenue of $21.34 billion to $21.37 billion (estimate: $21.24 billion).

“We delivered strong third-quarter results, driven by our AI-driven expert platform strategy,” said Sasan Goodarzi, chairman and CEO of Intuit. “As a result, we are raising our full-year revenue guidance for fiscal 2026.”

Shares of Intuit are down nearly 40% this year.

Intuit Reports Strong Third-Quarter Results and Raises Full-Year Revenue Guidance

Here are the numbers:

Q3 revenue of $8.56 billion (compared to analyst estimates of $8.54 billion).
Adjusted earnings per share of $12.80 (estimate: $12.54).
Raised full-year guidance for revenue of $21.34 billion to $21.37 billion (estimate: $21.24 billion).

Shares of Intuit are down nearly 40% this year.

Luke Kawa

Nvidia delivers another sales and earnings beat in Q1, with strong Q2 revenue guidance

Shareholder returns are going up too!

Tasha Matsumoto

Stocks climb as bond yields and oil prices fall

All eyes are on tonight’s Q1 2027 earnings from the world’s largest company.

Paige Oamek & Luke Kawa8h

T1 Energy spikes on record call volumes after Roth analyst calls short report a buying opportunity

Shares of T1 Energy are electric Wednesday afternoon, soaring more than 20% on record call volumes.

The stock had fallen over 13% at its lows on Tuesday after short-only fund Fuzzy Panda Research published a report calling the solar and battery storage company a “China Hustle” rather than a legitimate AI infrastructure investment, also alleging that the company has booked tax credits it won’t receive.

Retail traders have often used the dip that’s followed the announcement of a short report to load up on a company’s shares (see: POET Technologies in April).

Roth Capital Partners analyst Philip Shen responded to the report by calling T1 “a model for what the Trump administration may want in a domestic manufacturer that is transferring advanced technology and capacity to the US,” suggesting that the sell-off was a buying opportunity.

Earlier this week, T1 got an even more prominent vote of confidence when a 13F filing from Situational Awareness showed the hedge fund run by wunderkind Leopold Aschenbrenner held a 3.6% stake in the company at the end of Q1.