Reported 4 months ago
Hewlett Packard Enterprise's shares surged over 12% as the company predicts third-quarter revenue exceeding Wall Street expectations, driven by increasing need for its AI-optimized servers. The company's lead times in delivering Nvidia's AI-powered chips is now between six to 12 weeks, indicating potential for strong shipments. HPE's server revenue rose by 18% to $3.9 billion, with AI-server revenue more than doubling sequentially to $900 million, contributing to the overall positive outlook. Dell's recent profit forecast below estimates hints at possible margin impact from increased AI server costs.
Source: YAHOO