HPE forecasts fourth-quarter revenue below estimates, shares fall

Hewlett Packard Enterprise forecast fourth-quarter revenue below Wall Street estimates on Tuesday, at a time when demand for the company’s servers is taking a hit from soft enterprise spending coupled with fierce competition from more AI-focused rivals, sending its shares down 2.3% after the bell.

HP Enterprise expects current-quarter revenue between $7.2 billion and $7.5 billion, the mid-point of which was below analysts’ expectations of $7.49 billion, according to Refinitiv data.