# HPE's networking revenue just tripled — rival networking stocks haven't caught up yet

_AI-generated trading idea · LONG · ANET, CSCO_

> Canonical page: https://commonquant.ai/research/for-you/hpe-s-networking-revenue-just-tripled-rival-networking-stock--a749a4da-2e40-412c-aefb-9603e0ceec12

HPE just reported 148% growth in its networking division and its stock jumped 30% in a single day — its best earnings surprise since 2018. That kind of growth suggests companies are spending massively on networking infrastructure, likely driven by AI data centers.

## Idea

HPE's networking revenue nearly tripled last quarter, which is a massive signal that enterprise networking demand is surging — most likely tied to AI data center buildouts. But HPE already jumped 30%, so chasing it is risky. The smarter move is to look at rival networking companies like Arista Networks and Cisco that serve the same booming market but haven't repriced yet. If one major player is seeing 148% growth, the demand tide is lifting all boats in this space.

## Key details

- Symbols: ANET, CSCO
- Timeframes: 1D
- Tags: \#networking, \#AI\_infrastructure, \#earnings, \#catch\_up

## 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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