Hewlett-Packard Enterprise Company (NYSE:HPE) is highlighted as one of the Hot AI Stocks to watch. Goldman Sachs analyst Katherine Murphy upgraded HPE to Buy from Neutral with a price target of $31, following the acquisition of Juniper in July 2025. The merger with Juniper positions HPE as the number two player in the enterprise/campus networking market.

Despite concerns about HPE’s legacy IT hardware business and limited AI infrastructure participation, the firm sees potential in the company’s shift towards higher-margin, faster-growing networking segments. The current multiple for HPE remains discounted compared to peers, but the merger with Juniper is seen as a positive move for the company’s growth in data center networking.

Hewlett Packard Enterprise Company provides high-performance computing systems, AI software, and data storage solutions for complex AI workloads. While HPE presents investment potential, other AI stocks may offer greater upside potential with lower downside risk. For an undervalued AI stock with potential benefits from Trump-era tariffs and onshoring trends, check out the best short-term AI stock.

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