Boom in AI remains highly theoretical at Hewlett Packard Enterprise

marketscreener
2025.12.05 15:20
portai
I'm PortAI, I can summarize articles.

Hewlett Packard Enterprise (HPE) faces growth challenges despite the AI boom and its acquisition of Juniper Networks for $14 billion. Without Juniper, HPE's 2025 revenue would match that of a decade ago. The acquisition, valued at nearly 3x revenue and 30x EBITDA, hasn't convinced investors of HPE's growth potential. HPE's management projects flat free cash flow, and the company carries significant net debt, limiting capital distributions to shareholders.