HPE: Missed? Hybrid What?
November 27, 2019
I read “HPE Misses Q4 Revenue Targets, Sees Decline in Hybrid IT Group.”
I noted this statement:
the company continues to see declining revenue in several business lines.
But there is a bright spot, according to an objective money expert type:
Analyst Patrick Moorhead noted that HPE’s growth in strategic areas like Aruba Services and Apollo is indicative of a positive long term revenue strategy. “For HPE, I believe the future is all about its differentiation and execution in the hybrid cloud and ‘everything as a service’ about which I am optimistic,” said Moorhead.
The future? More cost cuts? Nope. The HPE future is Kubernetes.
Some observations:
- Misses, declines, yada yada. One point: progress is slow
- Excitement.Excitement HPE?
- Outlook? Sure, predict the future of HPE. No problem. Just guess.
Net net: A troublesome report from management making management decisions which appear to cause shares of HPE to drop. Yikes.
Stephen E Arnold, November 27, 2019