Hewlett Packard Enterprise misses quarterly revenue estimates

Hewlett Packard Enterprise Co missed Wall Street estimates for second-quarter revenue on Tuesday, as clients scale down spending on tech, including cloud services, amid an economic slowdown.

Shares of the Texas-based IT company fell 4% after the bell. The stock has declined nearly 3% so far this year.

For some of the largest tech companies, cloud services and data center businesses have been among the biggest growth drivers, including during the pandemic as people worked from home.

But demand for such services has slowed as high prices and an uncertain economy forced businesses to clamp down IT spending in a bid to rein in costs.