Hewlett-Packard Enterprise (HPE) posted strong fiscal third-quarter results that should lift its stock price. HPE bottomed below $12 during Liberation Day. It will open at around $23.
The firm increased revenue by 18.5% Y/Y to $9.14 billion. Non-GAAP EPS was $0.44. In fiscal Q4, revenue is as high as $10.1 billion, while diluted net EPS is between $0.50 - $0.54. HPE expects an EPS of $1.88 to $1.92 this fiscal year.
Watch out for ConocoPhillips (COP) today. After markets closed on Wednesday, the firm said it would cut its workforce by 20% to 25%. The firm is under pressure to cut spending, cut staff, and reduce drilling. Costs per barrel are up, so the firm needs to streamline the organization to compete.
Salesforce (CRM) is under selling pressure today. The software firm posted adjusted EPS of $2.91 on revenue of $10.24 billion. CEO Marc Benioff said that companies like Pfizer (PFE), the U.S. Army, and Marriott (MAR) benefit from its product.
Markets do not like the third-quarter outlook. Despite Salesforce expecting an EPS of $2.85 in Q3, investors expect more. Still, the company is forecasting revenue of $41.4 billion to $41.3 billion, in line with estimates. Its non-GAAP EPS of up to $11.37 is above expectations.
The downtrend in CRM stock started in January, but selling accelerated in mid-August. Avoid this stock for now.
