After a promising quarter, HPE is moving to Houston

By: Miguel A. Rodriguez

16:48, 02 December 2020

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Hewlett Packard Enterprise is trading Silicon Valley for Houston

It seems like the end of a quarter, and the beginning of another means a change of location for some companies, this being the case for Hewlett Packard Enterprise.

The tech company is shifting its focus from San Jose to Houston, leaving Silicon Valley behind. According to the statement released by the company, "HPE's largest U.S. employment hub, Houston, is an attractive market to recruit and retain future diverse talent and is where the company is currently constructing a state-of-the-art new campus." From the experts’ point of view, the pandemic turned out to be a valid reason for companies to leave Silicon Valley, some of them being Dropbox and Palantir.

Along with the decision came the Q4 2020 earnings report. In the past quarter, HP had an adjusted EPS of 37 cents, ahead of the market's 34 cents. The revenues came in at $7.21 billion, topping the $6.88 billion forecasted.  The figures marked a return to the pre-pandemic levels and a 6% increase from the revenues posted in Q3 2020. On January 6, 2021, the company will pay dividends of 12 cents per share.

For the future, the company expects its EPS to reach a high of 44 cents.

After the news hit the wire, the company's share price gained more than 1%.

Sources: businesswire.com, cnbc.com

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