Hewlett Packard Enterprise Company (NYSE:HPE) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• HPE has a “Moderate Buy” consensus rating from 17 analysts, with 11 buys and six holds. The average 12-month price target is $69.80, above the reported share price of $54.43.
• Recent results exceeded expectations: HPE reported quarterly EPS of $0.79 versus a $0.54 consensus estimate and revenue of $10.68 billion versus $9.78 billion, representing 40% year-over-year growth.
• Investor sentiment is supported by accelerating private-cloud AI demand and substantial institutional ownership of 80.78%, though risks include a Huawei-related patent agreement, competition from Cisco, and an insider share sale.

Hewlett Packard Enterprise Company (NYSE:HPE - Get Free Report) has been assigned a consensus rating of "Moderate Buy" from the seventeen research firms that are presently covering the stock, Marketbeat reports. Six analysts have rated the stock with a hold recommendation and eleven have issued a buy recommendation on the company. The average 1 year price objective among analysts that have covered the stock in the last year is $69.80.

HPE has been the topic of a number of recent research reports. Loop Capital upgraded shares of Hewlett Packard Enterprise from a "hold" rating to a "buy" rating and lifted their price target for the stock from $23.00 to $75.00 in a report on Tuesday, June 2nd. JPMorgan Chase & Co. raised their target price on Hewlett Packard Enterprise from $37.00 to $68.00 and gave the stock an "overweight" rating in a research report on Tuesday, June 2nd. Wall Street Zen downgraded Hewlett Packard Enterprise from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 22nd. The Goldman Sachs Group upped their price target on Hewlett Packard Enterprise from $32.00 to $79.00 and gave the company a "buy" rating in a research report on Wednesday, June 3rd. Finally, Weiss Ratings raised Hewlett Packard Enterprise from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Monday, June 29th.

Insiders Place Their Bets

In other Hewlett Packard Enterprise news, SVP Kirt P. Karros sold 18,785 shares of the stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $48.50, for a total transaction of $911,072.50. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.44% of the company's stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of HPE. California State Teachers Retirement System raised its stake in Hewlett Packard Enterprise by 4,299.0% during the second quarter. California State Teachers Retirement System now owns 92,484,612 shares of the technology company's stock worth $4,171,981,000 after buying an additional 90,382,225 shares during the last quarter. Capital World Investors bought a new stake in Hewlett Packard Enterprise during the fourth quarter valued at $901,751,000. Barrow Hanley Mewhinney & Strauss LLC bought a new stake in Hewlett Packard Enterprise during the second quarter valued at $1,027,139,000. Primecap Management Co. CA acquired a new stake in Hewlett Packard Enterprise during the 2nd quarter worth about $773,225,000. Finally, Legal & General Group Plc acquired a new stake in Hewlett Packard Enterprise during the 2nd quarter worth about $512,721,000. Institutional investors and hedge funds own 80.78% of the company's stock.

Trending Headlines about Hewlett Packard Enterprise

Here are the key news stories impacting Hewlett Packard Enterprise this week:

• Positive Sentiment: HPE’s private-cloud AI business is gaining momentum, supported by rising enterprise demand, growing AI orders and a stronger backlog. These trends could support revenue growth and improve the company’s long-term positioning in AI infrastructure. HPE's Private Cloud AI Gains Momentum: What Lies Ahead?
• Positive Sentiment: Analysts expect HPE’s upcoming quarterly results to benefit from favorable earnings and revenue trends, raising the possibility of an earnings beat. Investors will focus on AI demand, margins and forward guidance. HPE Earnings Expected to Grow
• Positive Sentiment: Technical coverage remains constructive: HPE recently moved above its 20-day moving average after finding support, while one bullish analysis identified a potential “bull flag” setup ahead of earnings. HPE Crossed Above the 20-Day Moving Average
• Neutral Sentiment: HPE is included among low price-to-book stocks with potential value and growth characteristics, but the comparison is broad and does not provide a specific near-term catalyst. Five Low P/B Stocks
• Negative Sentiment: A reported multiyear Wi-Fi patent deal with Huawei, a U.S.-blacklisted supplier, introduces potential geopolitical, regulatory and reputational concerns. Although the agreement may secure technology rights, investors may view the counterparty risk negatively. HPE Signs Multiyear Global WiFi Patent Deal
• Negative Sentiment: Competitive analysis favors Cisco Systems, citing stronger hyperscaler AI orders, networking growth and an expanding security business. This could limit enthusiasm for HPE among investors seeking long-term networking exposure. HPE vs. CSCO

Hewlett Packard Enterprise Stock Performance

Hewlett Packard Enterprise stock opened at $54.43 on Friday. The business has a 50 day moving average of $49.36 and a 200-day moving average of $36.66. Hewlett Packard Enterprise has a 1 year low of $19.84 and a 1 year high of $64.25. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.09 and a quick ratio of 0.75. The company has a market capitalization of $72.07 billion, a P/E ratio of 50.87, a P/E/G ratio of 0.59 and a beta of 1.42.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last posted its earnings results on Monday, June 1st. The technology company reported $0.79 EPS for the quarter, topping the consensus estimate of $0.54 by $0.25. Hewlett Packard Enterprise had a net margin of 3.94% and a return on equity of 11.91%. The business had revenue of $10.68 billion for the quarter, compared to the consensus estimate of $9.78 billion. During the same period last year, the company earned ($0.82) EPS. The firm's revenue was up 40.0% compared to the same quarter last year. Hewlett Packard Enterprise has set its FY 2026 guidance at 3.350-3.450 EPS and its Q3 2026 guidance at 0.880-0.930 EPS. On average, equities research analysts predict that Hewlett Packard Enterprise will post 2.92 earnings per share for the current year.

Hewlett Packard Enterprise Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Tuesday, June 16th were issued a $0.1425 dividend. The ex-dividend date was Tuesday, June 16th. This represents a $0.57 annualized dividend and a yield of 1.0%. Hewlett Packard Enterprise's dividend payout ratio is presently 53.27%.

Hewlett Packard Enterprise Company Profile

Hewlett Packard Enterprise (HPE) is an enterprise technology company that designs, develops and sells IT infrastructure, software and services for business and government customers. Its core offerings span servers, storage, networking, and related software, together with consulting, integration and support services aimed at modernizing and managing enterprise IT environments. HPE's product portfolio includes systems for traditional data centers as well as solutions for high-performance computing, edge computing and telecommunications infrastructure.

A major focus for HPE is hybrid cloud and consumption-based IT.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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