HP Enterprise confirms memory shortage will last longer than expected

Group 1 - HP Enterprise (HPE) confirms that the global memory shortage will last longer than previously expected, impacting the tech supply chain significantly [1] - HPE reported Q1 FY2026 revenue of $9.30 billion, an 18% year-over-year increase, but its server segment declined by 2.7% due to memory constraints [1] - Micron Technology (MU) echoed HPE's concerns, with CEO Sanjay Mehrotra stating that order books extend into 2027, and reported Q1 FY2026 revenue of $13.64 billion, up 56.6% year-over-year [1] Group 2 - The memory shortage is driving investment opportunities in semiconductor equipment makers such as Applied Materials, Lam Research, and KLA, which benefit from increased capital investment without direct exposure to memory pricing [1] - Applied Materials reported record DRAM revenue, with DRAM now making up 34% of its Semiconductor Systems segment, up from 27% a year ago [1] - Analysts suggest that investors should consider semiconductor capital equipment makers over commodity memory stocks, which have already priced in much of the good news [1]