Hewlett Packard slumps after dour Q2 forecasts

Shares of AI server maker Hewlett Packard HPE.N fall 19.5% to $14.45 in premarket

Company after market on Thursday forecast Q2 revenue and adjusted EPS below Wall Street's estimates

HPE projected revenue between $7.2 billion and $7.6 billion for the second quarter vs analysts estimates of $7.93 billion, as per data compiled by LSEG

HPE forecast Q2 adj earnings to be in the range of 28 cents/share to 34 cents/share, vs estimates of 50 cents/share

The server maker also said it would lay off 5% of its global workforce, or roughly 2,500 positions, as part of a cost-saving program

As of last close, HPE stock has shed ~16% YTD