Hewlett Packard Enterprise (HPE) shares climbed 3% on Wednesday, reaching an all-time high of $73.28, after the company introduced four new servers powered by Advanced Micro Devices' latest EPYC processors. The launch expands HPE's portfolio of infrastructure designed for artificial intelligence and data-center workloads, even as the broader market traded lower amid rising Treasury yields and oil prices.
New AI Server Lineup
The new systems are HPE's first ProLiant Gen13 servers built on AMD's newest EPYC architecture. The lineup includes the HPE ProLiant DL525 Gen13, DL585a Gen13, XD245, and XD285. The DL585a Gen13 supports up to eight graphics processing units and two AMD EPYC processors, while the DL525 Gen13 offers up to 256 CPU cores. The XD245 employs direct liquid cooling across four computing nodes, while the XD285 uses air cooling across two nodes.
Krista Satterthwaite, HPE's senior vice president and general manager of Compute, said the systems are designed to help customers scale agentic AI and inference without adding operational complexity. Availability will roll out over the next two years, with the DL525 expected later in 2026, the DL585a in early 2027, and the XD245 and XD285 during 2027.
AI Infrastructure Business Accelerates
The server launch comes as HPE's AI and cloud infrastructure business continues to expand. In fiscal third quarter 2026, Cloud and AI revenue increased 25.4% year over year to $9 billion, while server revenue rose 35.3% to $6.8 billion. Total revenue for the quarter ended July 31 reached $12.18 billion, up 32% from a year earlier.
HPE also recently announced a $1.2 billion order from cloud provider Vultr for AMD Helios AI Rack systems. That order marks the first for HPE's Helios platform and is separate from the ProLiant servers introduced Wednesday. The company has also raised its long-term revenue growth forecast for its networking business, citing sustained demand for AI infrastructure.
Security Concerns Remain a Key Barrier
HPE highlighted security and risk as a significant barrier to the adoption of AI-agent systems, which can independently take actions on behalf of users. The company cited a 2026 survey of about 500 AI experts and managers across various organizations. Nearly two-thirds of respondents identified security and risk concerns as the top barrier to fully expanding their use of systems that power AI agents.
Analysts currently rate HPE shares as a Moderate Buy, based on 11 Buy ratings and seven Holds from 18 analysts over the past three months, according to TipRanks. The average price target is $73.94.
The latest server launch adds to HPE's efforts to expand its AI infrastructure portfolio as companies increase spending on computing, networking, and other systems needed for AI workloads.
This article is for informational purposes only and does not constitute financial advice.
