Hewlett Packard Enterprise Co. (HPE) came off a spectacular 2016, seeing its stock grow 55%, reflected in a market cap of $38.52 billion. Since its split from HP Inc. (HPQ) in November 2015, the enterprise technology firm has undergone a massive restructuring, focused on trimming down its core businesses.

CEO Meg Whitman now leads HPE ahead into 2017, eyeing growth markets in areas such as high-performance computing, data center and cloud, “Intelligent Edge” and services. Management foresees wide-scale adoption of technology such as hybrid IT and the Internet of Things (IoT) as driving ahead these target markets. (See also: Cheap Tech Stock Pick: Hewlett Packard Enterprise.)

Looking to Hybrid IT

In HPE’s fiscal-year 2017 outlook, released in mid-October of 2016, management provided a strategy update focused on becoming the “industry’s leading provider of hybrid IT” via market valued at more than $250 billion and growing at 2% to 3% annually.

As organizations worldwide move their bulky on-premise data centers to the public cloud, HPE hopes to capitalize off enterprises seeking a middle ground, managing workloads both on-site and off-loaded to the cloud. HPE sees its role championing the “hybrid model,” built on secure next-gen software-defined infrastructure bridged to multicloud environments.

Finding the 'Intelligent Edge'

HPE will target the data center and cloud space it says represents a $100 billion opportunity, specifically in segments such as high performance computing (HPC), private cloud, all-flash arrays and hyperconverged computing. The enterprise IT leader also hopes to power its emerging Intelligent Edge businesses, which it foresees running campus, branch and industrial IoT applications “for decades to come.” HPE says its Intelligent Edge segment is comprised of a $23 billion campus and branch market, and a $14 billion industrial IoT market growing at 15% a year.

The firm will also bolster its services capability in order to harness what it sees as a $116 billion opportunity growing at 3% to 4% each year. HPE foresees the surge in service demand as “driven by growing customer needs for consulting and support across hybrid infrastructure and demand for flexible IT consumption models.”

The Palo Alto, Calif.-based company forecasts adjusted earnings per share (EPS) to come in at $2.05 at the midpoint in FY17. By comparison, analysts project non-GAAP​ EPS of $2.07 on revenues of $49.26 billion. (See also: HPE Sees Growth in HPC Market.)