HPE Stock Analysis: Hewlett Packard Enterprise | NYSE
Communication Equipment | NYSE, USA | Market Cap: 54.597m USD | 12M Return: 119% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 1.14B
EPS Trend: -51.0%
Qual. Beats: 5
Rev. Trend: 90.9%
Qual. Beats: 1
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Hewlett Packard Enterprise (HPE) is a global provider of enterprise information technology infrastructure, operating across five segments: Server, Hybrid Cloud, Networking, Financial Services, and Corporate Investments and Other. The company sells general-purpose and workload-optimized servers (such as ProLiant and Cray systems), storage and cloud solutions (including the Alletra line and GreenLake platform), and networking and security products (notably under the Aruba and Mist brands), while also offering IT leasing, financing, and asset management services. HPE was founded in 1939, is headquartered in Spring, Texas, and was spun off from the original Hewlett-Packard in 2015 to focus on enterprise infrastructure, as distinct from the legacy HP personal computing and printing business.
Within the Information Technology sector, HPE is classified in the Technology Hardware, Storage & Peripherals sub-industry and reaches customers through a multi-channel model that includes resellers, distribution partners, system integrators, and OEMs, serving commercial, large enterprise, and public sector clients worldwide. The companys business model has increasingly shifted toward subscription-based and consumption-driven offerings-particularly through the GreenLake edge-to-cloud platform-which represents the broader industry transition from upfront hardware sales to as-a-service IT delivery.
- AI server demand lifts ProLiant and Cray revenue
- Juniper acquisition expands networking market share
- Server margins face pressure from Dell and Super Micro
| Net Income: 1.52b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 6.94 > 1.0 |
| NWC/Revenue: 6.13% < 20% (prev 22.29%; Δ -16.16% < -1%) |
| CFO/TA 0.08 > 3% & CFO 6.36b > Net Income 1.52b |
| Net Debt (17.7b) to EBITDA (4.01b): 4.40 < 3 |
| Current Ratio: 1.09 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.43b) vs 12m ago 8.32% < -2% |
| Gross Margin: 32.92% > 18% (prev 29.19%; Δ 3.74% > 0.5%) |
| Asset Turnover: 52.76% > 50% (prev 46.50%; Δ 6.26% > 0%) |
| Interest Coverage Ratio: 9.14 > 6 (EBIT TTM 1.26b / Interest Expense TTM 138.0m) |
| A: 0.03 (Total Current Assets 29.4b - Total Current Liabilities 27.0b) / Total Assets 79.5b |
| B: -0.03 (Retained Earnings -2.21b / Total Assets 79.5b) |
| C: 0.02 (EBIT TTM 1.26b / Avg Total Assets 73.7b) |
| D: 0.47 (Book Value of Equity 25.3b / Total Liabilities 54.2b) |
| Altman-Z'' = 0.71 = B |
| DSRI: 1.04 (Receivables 9.98b/7.81b, Revenue 38.9b/31.6b) |
| GMI: 0.89 (GM 29.19% / 32.92%) |
| AQI: 1.23 (AQ_t 0.56 / AQ_t-1 0.46) |
| SGI: 1.23 (Revenue 38.9b / 31.6b) |
| TATA: -0.06 (NI 1.52b - CFO 6.36b) / TA 79.5b) |
| Beneish M = -2.80 (Cap -4..+1) = A |
As of July 09, 2026, the stock is trading at USD 44.67 with a total of 15,142,023 shares traded. Over the past week, the price has changed by -0.98%, over one month by -10.17%, over three months by +79.35% and over the past year by +119.02%.
Current recommended Stop Loss: 41.50 (which is 7.1% or 1.1 ATR below the current price).
Hewlett Packard Enterprise has received a consensus analysts rating of 3.88. Therefore, it is recommended to buy HPE.
- StrongBuy: 6
- Buy: 2
- Hold: 8
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 64.1 | 43.6% |
P/E Trailing = 38.5327
P/E Forward = 11.274
P/S = 1.4074
P/B = 2.3011
P/EG = 0.8512
Revenue TTM = 38.9b USD
EBIT TTM = 1.26b USD
EBITDA TTM = 4.01b USD
Long Term Debt = 18.2b USD (from longTermDebt, last quarter)
Short Term Debt = 3.01b USD (from shortTermDebt, last quarter)
Debt = 23.0b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.71b
Net Debt = 17.7b USD (calculated: Debt 23.0b - CCE 5.29b)
Enterprise Value = 72.3b USD (54.6b + Debt 23.0b - CCE 5.29b)
Interest Coverage Ratio = 9.14 (Ebit TTM 1.26b / Interest Expense TTM 138.0m)
EV/FCF = 12.81x (Enterprise Value 72.3b / FCF TTM 5.64b)
FCF Yield = 7.80% (FCF TTM 5.64b / Enterprise Value 72.3b)
FCF Margin = 14.51% (FCF TTM 5.64b / Revenue TTM 38.9b)
Net Margin = 3.90% (Net Income TTM 1.52b / Revenue TTM 38.9b)
Gross Margin = 32.92% ((Revenue TTM 38.9b - Cost of Revenue TTM 26.1b) / Revenue TTM)
Gross Margin QoQ = 36.52% (prev 35.91%)
Tobins Q-Ratio = 0.91 (Enterprise Value 72.3b / Total Assets 79.5b)
Interest Expense / Debt = 0.60% (Interest Expense 138.0m / Debt 23.0b)
Taxrate = 10.73% (75.0m / 699.0m)
NOPAT = 1.13b (EBIT 1.26b * (1 - 10.73%))
Current Ratio = 1.09 (Total Current Assets 29.4b / Total Current Liabilities 27.0b)
Debt / Equity = 0.91 (Debt 23.0b / totalStockholderEquity, last quarter 25.3b)
Debt / EBITDA = 4.40 (Net Debt 17.7b / EBITDA 4.01b)
Debt / FCF = 3.13 (Net Debt 17.7b / FCF TTM 5.64b)
Total Stockholder Equity = 24.8b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.06% (Net Income 1.52b / Total Assets 79.5b)
RoE = 6.12% (Net Income TTM 1.52b / Total Stockholder Equity 24.8b)
RoCE = 2.93% (EBIT 1.26b / Capital Employed (Equity 24.8b + L.T.Debt 18.2b))
RoIC = 2.10% (NOPAT 1.13b / Invested Capital 53.6b)
WACC = 9.65% (E(54.6b)/V(77.6b) * Re(13.48%) + D(23.0b)/V(77.6b) * Rd(0.60%) * (1-Tc(0.11)))
Discount Rate = 13.48% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 51.11 | Cagr: 3.83%
[DCF] Terminal Value 73.88% ; FCFF base≈3.43b ; Y1≈3.93b ; Y5≈5.78b
[DCF] Fair Price = 40.12 (EV 70.8b - Net Debt 17.7b = Equity 53.1b / Shares 1.32b; r=9.65% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -51.04 | EPS CAGR: -3.91% | SUE: 4.0 | # QB: 5
Revenue Correlation: 90.94 | Revenue CAGR: 10.88% | SUE: 4.0 | # QB: 1
EPS current Quarter (2026-07-31): EPS=0.92 | Chg30d=+59.24% | Revisions=+85% | Analysts=17
EPS current Year (2026-10-31): EPS=3.41 | Chg30d=+40.54% | Revisions=+86% | GrowthEPS=+75.9% | GrowthRev=+31.0%
EPS next Year (2027-10-31): EPS=4.00 | Chg30d=+46.14% | Revisions=+84% | GrowthEPS=+17.1% | GrowthRev=+11.0%
[Analyst] Revisions Ratio: +95% (up=52, down=0)