Top Earnings Takeaways for HP Enterprise, Palo Alto Networks, Box and Ciena

HP Enterprise (HPE)  sold off after posting disappointing results and guidance on Wednesday afternoon. Palo Alto Networks (PANW)  and Box (BOX)  went in the opposite direction after releasing market-pleasing numbers around the same time, and Ciena (CIEN) did so after delivering upbeat results on Thursday morning. Here are some thoughts on their reports.

HP Enterprise

Microsoft (MSFT)  still appears to be doing a number on HPE's quarterly sales, and it looks as if CEO Meg Whitman is open to cutting her company's losses rather than trying to keep pushing a boulder uphill.

The IT giant's numbers are a little tough to parse, since they include two months of revenue from its giant Enterprise Services (ES) unit, which was just spun off and merged with Computer Sciences (CSC) . With $2.5 billion in ES revenue recorded prior to the spinoff, and some (but not all) analysts having taken ES out of their quarterly estimates, HPE reported April quarter revenue of $9.9 billion, above a $9.64 billion consensus. Excluding ES, but including software assets that are set to be spun off into a company that HPE will retain a 50.1% stake in, revenue fell 13% annually to $7.4 billion.

Adjusted EPS of $0.35 was in-line with consensus estimates. But EPS from continuing operations (excludes ES) fell 24%, to $0.25. And July quarter EPS guidance of $0.24 to $0.28 is below a $0.31 consensus.

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