Data Center Buildout Accelerates, Power Demand Surges
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 21 2026
0mins
Source: Fool
- Surging Power Demand: The IEA projects that global energy consumption for data centers will double by 2030, highlighting the urgent need for infrastructure investment and creating significant opportunities for energy investments.
- Accelerated Construction: Despite concerns about 'overbuilding,' data shows that existing data centers are insufficient to meet the demands of AI and other intensive computing applications, indicating continued market growth potential.
- Diverse Investment Opportunities: Analysts suggest that investors can gain exposure to the data center buildout by focusing on related companies like Hewlett Packard Enterprise, especially in the context of rapid AI data center development.
- Energy Self-Sufficiency: Major tech firms like Microsoft and Amazon are taking control of energy costs by building or acquiring nuclear facilities, a trend that could reshape the energy supply landscape for data centers and reduce long-term operational costs.
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Analyst Views on HPE
Wall Street analysts forecast HPE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HPE is 27.13 USD with a low forecast of 21.00 USD and a high forecast of 31.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
8 Buy
8 Hold
0 Sell
Moderate Buy
Current: 21.600
Low
21.00
Averages
27.13
High
31.00
Current: 21.600
Low
21.00
Averages
27.13
High
31.00
About HPE
Hewlett Packard Enterprise Company is a global technology company focused on developing intelligent solutions that allow customers to capture, analyze and act upon data seamlessly from edge to cloud. Its customers range from small-and-medium-sized businesses to large global enterprises and governmental entities. Its segments include Server, Hybrid Cloud, Networking, Financial Services, and Corporate Investments and Other. Its Server segment offerings consist of general-purpose servers for multi-workload computing, workload-optimized servers, and integrated systems. Its Hybrid Cloud segment offers a range of cloud-native and hybrid solutions across storage, private cloud and the infrastructure software-as-a-service space. The Networking segment develops and sells high-performance networking and security products and services. Its Financial Services segment provides flexible investment solutions, such as leasing, financing, IT consumption, utility programs, and asset management services.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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