Advertisement
CSCO vs HPE
Which Stock Would AI Choose? Cisco Systems (CSCO) vs. Hewlett Packard Enterprise (HPE) Stock Comparison
Key Takeaways
- CSCO delivered record fiscal 2026 results with strong AI networking orders but saw its stock decline sharply after earnings due to concerns over product margins.
- HPE reported robust revenue growth of 34% year-over-year in its latest quarter, driven by AI server demand and networking expansion following the Juniper acquisition, with raised full-year guidance.
- Both companies benefit from AI infrastructure spending, though CSCO focuses primarily on networking equipment while HPE emphasizes servers and integrated solutions.
- Recent market activity shows HPE exhibiting stronger price momentum compared to CSCO, which pulled back from earlier 2026 highs amid valuation scrutiny.
- CSCO maintains higher operating margins and a larger market capitalization, offering relative stability, whereas HPE trades at a premium valuation reflecting its accelerated growth profile.
- Sector exposure to enterprise IT and data center upgrades positions both stocks similarly for ongoing AI-related capital expenditures in the near term.
Introduction
Investors and traders seeking to navigate the technology hardware sector often examine CSCO and HPE together, as both firms supply critical infrastructure for enterprise networks and data centers amid rising artificial intelligence adoption. This comparison highlights differences in business models, recent financial results, and market reactions to provide context for those evaluating relative positioning within the broader IT spending cycle. Portfolio managers balancing growth exposure with established cash-flow generators may find the analysis relevant when assessing allocation decisions in the communications equipment and computer hardware industries.
CSCO Overview and Recent Performance
Cisco Systems designs and sells networking hardware, software, and security solutions that support enterprise and service provider connectivity. In recent weeks, the company reported fiscal fourth-quarter results featuring revenue growth of 18% year-over-year and elevated AI-related orders from hyperscalers. Guidance for fiscal 2027 exceeded consensus estimates, underscoring continued demand for data-center networking. Despite these positives, the stock experienced notable pressure following the release, influenced by commentary on gross-margin dynamics tied to a higher mix of AI hardware. Broader market activity in the period reflected consolidation after earlier gains in 2026, with sentiment shaped by the balance between strong order momentum and near-term profitability considerations.
HPE Overview and Recent Performance
Hewlett Packard Enterprise provides servers, storage, networking, and edge solutions, with increasing emphasis on AI-optimized systems and as-a-service offerings. Recent quarters demonstrated accelerated revenue expansion, supported by server demand and contributions from the Juniper Networks integration. Management raised fiscal 2026 and 2027 outlooks amid record backlog levels and expanding AI systems orders. Stock performance showed resilience and upward movement in response to analyst commentary and order strength, though the shares remain sensitive to broader hardware-cycle fluctuations. Sentiment in recent market activity has been supported by evidence of enterprise refresh cycles and AI infrastructure deployments.
Trending AI Robots
Tickeron’s Trending AI Robots page curates a selection of high-performing automated trading strategies from hundreds of AI trading bots that cover thousands of tickers across global markets. Only those demonstrating the strongest alignment with prevailing conditions, consistent risk-adjusted returns, and robust statistics earn placement in this section. Available bots span diverse trading styles, timeframes, performance metrics, and ticker sets, allowing users to review detailed backtests and live statistics before deployment. The platform provides transparent data on win rates, drawdowns, and trade frequency to support informed evaluation. Review the Trending AI Robots page for current selections and performance details.
Head-to-Head Comparison
CSCO operates with a broader installed base in enterprise networking and security, delivering higher operating margins and more predictable recurring revenue streams. In contrast, HPE has positioned itself for faster growth through server hardware and the recent Juniper combination, which expands its networking footprint but introduces integration execution risks. Recent momentum favors HPE on price appreciation and raised guidance, while CSCO offers greater scale and dividend stability. Both face exposure to AI capital-expenditure cycles and supply-chain variables, yet CSCO exhibits lower volatility historically. Market sentiment reflects optimism for infrastructure spending overall, tempered by valuation debates around growth sustainability.
Tickeron AI Verdict
Based on observable factors including order momentum, guidance revisions, and relative price stability in recent market activity, Tickeron’s AI models currently assign a modestly higher probability of favorable positioning to HPE. The company’s accelerated revenue trajectory and expanding AI backlog provide a clearer near-term catalyst profile compared with CSCO’s post-earnings consolidation. This assessment remains probabilistic and contingent on continued execution within the AI infrastructure environment.
Disclaimer
The information on this webpage is provided for general informational and educational purposes only and is not intended as investment advice, a recommendation to purchase or sell any security, or an offer or solicitation related to investments. It does not consider your personal financial situation, goals, or risk profile, and all investing carries inherent risks, including the possibility of losing your entire investment. For more details, please review our full disclaimer.
To compare these two companies we present long-term analysis, their fundamental ratings and make comparative short-term technical analysis which are presented below. The conclusion is CSCO is a Buy and HPE is a StrongBuy.
CSCO | HPE | ||
|---|---|---|---|
OUTLOOK RATING 1..100 | 78 | 29 | |
VALUATION overvalued / fair valued / undervalued 1..100 | 57 Fair valued | 40 Fair valued | |
PROFIT vs RISK RATING 1..100 | 15 | 7 | |
SMR RATING 1..100 | 35 | 68 | |
PRICE GROWTH RATING 1..100 | 42 | 6 | |
P/E GROWTH RATING 1..100 | 24 | 29 | |
SEASONALITY SCORE 1..100 | 50 | 38 |
Tickeron ratings are formulated such that a rating of 1 designates the most successful stocks in a given industry, while a rating of 100 points to the least successful stocks for that industry.
HPE's Valuation (40) in the Computer Processing Hardware industry is in the same range as CSCO (57) in the Computer Communications industry. This means that HPE’s stock grew similarly to CSCO’s over the last 12 months.
HPE's Profit vs Risk Rating (7) in the Computer Processing Hardware industry is in the same range as CSCO (15) in the Computer Communications industry. This means that HPE’s stock grew similarly to CSCO’s over the last 12 months.
CSCO's SMR Rating (35) in the Computer Communications industry is somewhat better than the same rating for HPE (68) in the Computer Processing Hardware industry. This means that CSCO’s stock grew somewhat faster than HPE’s over the last 12 months.
HPE's Price Growth Rating (6) in the Computer Processing Hardware industry is somewhat better than the same rating for CSCO (42) in the Computer Communications industry. This means that HPE’s stock grew somewhat faster than CSCO’s over the last 12 months.
CSCO's P/E Growth Rating (24) in the Computer Communications industry is in the same range as HPE (29) in the Computer Processing Hardware industry. This means that CSCO’s stock grew similarly to HPE’s over the last 12 months.
| CSCO | HPE | |
|---|---|---|
| RSI ODDS (%) | N/A | N/A |
| Stochastic ODDS (%) | 2 days ago 55% | 2 days ago 73% |
| Momentum ODDS (%) | 2 days ago 44% | 2 days ago 71% |
| MACD ODDS (%) | 2 days ago 32% | 2 days ago 80% |
| TrendWeek ODDS (%) | 2 days ago 39% | 2 days ago 72% |
| TrendMonth ODDS (%) | 2 days ago 44% | 2 days ago 73% |
| Advances ODDS (%) | N/A | 6 days ago 75% |
| Declines ODDS (%) | 7 days ago 41% | 2 days ago 62% |
| BollingerBands ODDS (%) | 2 days ago 66% | 2 days ago 63% |
| Aroon ODDS (%) | 2 days ago 47% | 2 days ago 59% |
Long-Term Analysis
It is best to consider a long-term outlook for a ticker by using Fundamental Analysis (FA) ratings. The rating of 1 to 100, where 1 is best and 100 is worst, is divided into thirds. The first third (a green rating of 1-33) indicates that the ticker is undervalued; the second third (a grey number between 34 and 66) means that the ticker is valued fairly; and the last third (red number of 67 to 100) reflects that the ticker is overvalued. We use an FA Score to show how many ratings show the ticker to be undervalued (green) or overvalued (red).
CSCO’s FA Score shows that 2 FA rating(s) are green while HPE’s FA Score has 3 green FA rating(s).
- CSCO’s FA Score: 2 green, 3 red.
- HPE’s FA Score: 3 green, 2 red.
Short-Term Analysis
It is best to consider a short-term outlook for a ticker by using Technical Analysis (TA) indicators. We use Odds of Success as the percentage of outcomes which confirm successful trade signals in the past.
If the Odds of Success (the likelihood of the continuation of a trend) for each indicator are greater than 50%, then the generated signal is confirmed. A green percentage from 90% to 51% indicates that the ticker is in a bullish trend. A red percentage from 90% - 51% indicates that the ticker is in a bearish trend. All grey percentages are below 50% and are considered not to confirm the trend signal.
CSCO’s TA Score shows that 2 TA indicator(s) are bullish while HPE’s TA Score has 3 bullish TA indicator(s).
- CSCO’s TA Score: 2 bullish, 4 bearish.
- HPE’s TA Score: 3 bullish, 4 bearish.
Price Growth
CSCO (@Telecommunications Equipment) experienced а -4.23% price change this week, while HPE (@Telecommunications Equipment) price change was +1.43% for the same time period.
The average weekly price growth across all stocks in the @Telecommunications Equipment industry was -2.33%. For the same industry, the average monthly price growth was -0.65%, and the average quarterly price growth was +7.50%.
Reported Earning Dates
CSCO is expected to report earnings on Nov 18, 2026.
HPE is expected to report earnings on Dec 03, 2026.
Industries' Descriptions
@Telecommunications Equipment (-2.33% weekly)The Telecommunications Equipment industry produces voice and data communications equipment, which includes fiber optic delivery products, digital signal processors, high-speed voice, data and video delivery. Additionally, satellite systems, global positioning systems, wireless data systems, personal communications equipment, telephone handsets and payload equipment for satellites also fall into this category. Apple Inc., QUALCOMM Incorporated and Nokia are major global players in this segment.
Advertisement
CSCO and
Correlation & Price change
A.I.dvisor indicates that over the last year, CSCO has been loosely correlated with HPE. These tickers have moved in lockstep 51% of the time. This A.I.-generated data suggests there is some statistical probability that if CSCO jumps, then HPE could also see price increases.
| Ticker / NAME | Correlation To CSCO | 1D Price Change % | ||
|---|---|---|---|---|
| CSCO | 100% | +0.04% | ||
| HPE - CSCO | 51% Loosely correlated | -0.49% | ||
| EXTR - CSCO | 48% Loosely correlated | -2.42% | ||
| ITRN - CSCO | 42% Loosely correlated | +0.08% | ||
| CRNT - CSCO | 37% Loosely correlated | -1.90% | ||
| NOK - CSCO | 36% Loosely correlated | -2.60% | ||
More | ||||
HPE and
Correlation & Price change
A.I.dvisor indicates that over the last year, HPE has been loosely correlated with CSCO. These tickers have moved in lockstep 51% of the time. This A.I.-generated data suggests there is some statistical probability that if HPE jumps, then CSCO could also see price increases.
| Ticker / NAME | Correlation To HPE | 1D Price Change % | ||
|---|---|---|---|---|
| HPE | 100% | -0.49% | ||
| CSCO - HPE | 51% Loosely correlated | +0.04% | ||
| NOK - HPE | 47% Loosely correlated | -2.60% | ||
| CRNT - HPE | 47% Loosely correlated | -1.90% | ||
| NTGR - HPE | 45% Loosely correlated | -0.41% | ||
| ITRN - HPE | 42% Loosely correlated | +0.08% | ||
More | ||||