# HPE's networking revenue nearly triples — catch-up trade on Arista and Cisco before they reprice

_AI-generated trading idea · LONG · ANET, CSCO_

> Canonical page: https://commonquant.ai/research/for-you/hpe-s-networking-revenue-nearly-triples-catch-up-trade-on-ar--40cf47a5-6290-485a-b92d-94063cebd62a

Hewlett Packard Enterprise just reported its best earnings surprise in years, with networking revenue nearly tripling. The stock jumped 30% in a single day.

## Idea

HPE just showed that enterprise networking demand is exploding — its networking revenue grew 148% last quarter. That kind of growth rarely happens in isolation; the same AI-driven data-center buildout that boosted HPE is likely lifting orders for Arista Networks and Cisco too. But those stocks haven't moved yet, creating a window where peers may play catch-up as investors rotate money into the sector. When one company in a group blows past expectations, competitors often get a sympathy rally in the days that follow.

## Key details

- Symbols: ANET, CSCO
- Timeframes: 1D
- Tags: \#earnings, \#networking, \#catchup\_trade

## Community

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## News sources

- [HPE's stock soars toward record gain as earnings show a networking bonanza](https://www.marketwatch.com/story/hpes-stock-soars-toward-record-gain-as-earnings-show-a-networking-bonanza-2bde2d3a?mod=mw_rss_topstories) — MarketWatch
- [HPE skyrockets 30% on biggest earnings beat since 2018](https://www.cnbc.com/2026/06/01/hpe-stock-earnings-q2.html) — CNBC

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