HP Enterprise price target lowered to $16 from $24 at Loop Capital

Loop Capital lowered the firm’s price target on HP Enterprise (HPE) to $16 from $24 and keeps a Hold rating on the shares. The firm cites the company’s Q1 earnings miss, with the “gist” of the earnings call and the management’s outlook being that margin pressure has emerged both in the form of selling price pressure with traditional servers, inventory, and tariffs, the analyst tells investors in a research note. The Gen AI premium that HP Enterprise had enjoyed from the runup in the stock price from $15 to $25 has now “round-tripped”, Loop added.