HPE briefly rose in after-hours trading 37%; Alphabet 800 billion dollar share offering
Hewlett Packard Enterprise 2briefly rose as much as 37% in after-hours trading on strong quarterly results, while Alphabet announced plans for a share offering of up to 800 billion dollars to fund investment in AI infrastructure. The two announcements point to both demand for AI data centers and increased fundraising.
Hewlett Packard Enterprise's share price 1briefly rose as much as 37% in after-hours trading on . In the regular session, the shares closed up 9.20% from the previous session. The share price movement was attributed to demand for infrastructure related to artificial intelligence.
The company 2reported quarterly revenue growth of 40% year over year, reaching 106 billion 8000 million dollars. The company said revenue and other metrics exceeded market expectations. It said the strong quarterly results reflected increased demand for data center equipment.
Adjusted earnings per share came to 0.79 dollars (1195 won). Chief Executive Antonio Neri said customers continue to invest in modernizing infrastructure and expanding AI. Chief Financial Officer Marie Myers said demand for servers that support agentic AI tools has surged.
The company 2026fiscal-year revenue growth guidance from the previous 17–22% to 29–33%. The company said it believes it could bring forward the timing for achieving its long-term financial targets. The announcement came amid earnings trends in data center and infrastructure-related industries.
Alphabet said it plans to raise up to 800billion dollars (121trillion won) through a share sale to fund investment in AI infrastructure. The company said it would invest the proceeds in world-class AI computing infrastructure. It said demand for its AI solutions from both businesses and consumers is exceeding supply.
Of this, 100billion dollars will be invested by Berkshire Hathaway. Alphabet said the equity offering would diversify its funding sources. The company said it has adjusted its capital expenditure plans in line with aggressive investment.
Alphabet raised its capital expenditure outlook for this year from 1750billion to 1850billion dollars to 1800billion to 1900billion dollars. Executives are reportedly expecting aggressive AI investment to continue over an extended period. Industry observers expect hyperscalers to continue making large-scale investments in AI.
Industry estimates indicated that hyperscalers including Alphabet, Microsoft, Meta and Amazon would invest a total of 7000billion dollars in AI this year. These announcements highlight AI infrastructure demand, the resulting financing needs and earnings all at once. South Korea's market is watching the potential impact on related equipment, server and semiconductor supply chains.
Sources: 뉴시스 경제
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