HPE lifts FY27 Networking growth outlook to high teens–low 20s, raises Juniper synergy target

Hewlett Packard Enterprise used a Networking Investor Day to raise its segment growth and synergy targets. In a Wednesday press release furnished on Form 8-K, HPE said it is lifting fiscal 2027 Networking segment revenue growth outlook to between the high teens and low-20s percent and expects Networking operating margin in the mid-to-high 20s percent range.

Longer term, HPE said it now projects Networking segment revenue to grow at a high-teens percent compound annual rate from fiscal 2026 through fiscal 2029, with an operating margin target of mid-to-high 20s percent from fiscal 2027 through fiscal 2029. On Juniper Networks cost synergies, the company raised its annual run-rate savings goal to $800 million by the end of fiscal 2028, up from a prior target of at least $600 million.

HPE also announced a $1.2 billion order from Vultr to deploy AMD Helios AI Rack by HPE systems — described as HPE’s first order for the new system, which includes purpose-built HPE Networking hardware and software. Networking president Rami Rahim said AI is making the network more strategic and that HPE aims to capture demand across data center networking, routing, campus and branch, and security. The company said it expects to outgrow market growth rates it will outline at the event and gain share over the next three years in data center networking, routing, and campus and branch.

By the numbers

• FY27 Networking revenue growth outlook: high teens to low-20s %
• Networking OM outlook: mid-to-high 20s % (FY27–FY29 target)
• Networking revenue CAGR framework: high-teens % (FY26–FY29)
• Juniper run-rate savings target: $800 million by end FY28 (was ≥$600 million)
• Vultr AMD Helios AI Rack order: $1.2 billion (first system order, per HPE)

Sources

1. Hewlett Packard Enterprise Company Form 8-K (Item 7.01), accepted Sept. 30, 2026 7:49:26 a.m. ET, accession 0001645590-26-000084
2. Hewlett Packard Enterprise Company Form 8-K Exhibit 99.1 (press release), accession 0001645590-26-000084

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