Capital World Investors Buys New Shares in Hewlett Packard Enterprise Company $HPE

Key Points

• Capital World Investors disclosed a new stake in Hewlett Packard Enterprise, buying 37.5 million shares valued at about $901.8 million. The position represented 2.81% of HPE as of the filing.
• HPE delivered a strong quarterly beat, reporting $0.79 EPS versus $0.54 expected and $10.68 billion in revenue versus $9.78 billion estimated. Revenue rose 40% year over year, and the company raised guidance for fiscal 2026 and Q3 2026.
• Wall Street sentiment has turned more upbeat, with several firms sharply raising price targets; the consensus rating is now Moderate Buy with a $64.65 average target. The stock also pays a quarterly dividend of $0.1425 per share, yielding about 1.2%.

Capital World Investors purchased a new stake in shares of Hewlett Packard Enterprise Company (NYSE:HPE - Free Report) during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund purchased 37,541,672 shares of the technology company's stock, valued at approximately $901,751,000. Capital World Investors owned 2.81% of Hewlett Packard Enterprise as of its most recent SEC filing.

A number of other hedge funds also recently modified their holdings of HPE. Headlands Technologies LLC acquired a new stake in shares of Hewlett Packard Enterprise during the 2nd quarter worth approximately $26,000. Clearstead Trust LLC grew its holdings in shares of Hewlett Packard Enterprise by 93.8% during the 3rd quarter. Clearstead Trust LLC now owns 1,291 shares of the technology company's stock worth $32,000 after purchasing an additional 625 shares in the last quarter. Thompson Investment Management Inc. acquired a new stake in shares of Hewlett Packard Enterprise during the 4th quarter worth approximately $34,000. JFS Wealth Advisors LLC grew its holdings in shares of Hewlett Packard Enterprise by 40.5% during the 4th quarter. JFS Wealth Advisors LLC now owns 1,565 shares of the technology company's stock worth $38,000 after purchasing an additional 451 shares in the last quarter. Finally, WealthCollab LLC grew its holdings in shares of Hewlett Packard Enterprise by 121.8% during the 4th quarter. WealthCollab LLC now owns 1,657 shares of the technology company's stock worth $40,000 after purchasing an additional 910 shares in the last quarter. Institutional investors own 80.78% of the company's stock.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on the company. The Goldman Sachs Group lifted their price objective on Hewlett Packard Enterprise from $32.00 to $79.00 and gave the stock a "buy" rating in a report on Wednesday, June 3rd. Raymond James Financial increased their price target on shares of Hewlett Packard Enterprise from $29.00 to $74.00 and gave the stock an "outperform" rating in a research report on Tuesday, June 2nd. Wells Fargo & Company increased their price target on shares of Hewlett Packard Enterprise from $26.00 to $67.00 and gave the stock an "equal weight" rating in a research report on Tuesday, June 2nd. Wall Street Zen lowered shares of Hewlett Packard Enterprise from a "buy" rating to a "hold" rating in a research report on Tuesday, June 2nd. Finally, Morgan Stanley increased their price target on shares of Hewlett Packard Enterprise from $33.00 to $71.00 and gave the stock an "equal weight" rating in a research report on Tuesday, June 2nd. Eleven investment analysts have rated the stock with a Buy rating and ten have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $64.65.

Hewlett Packard Enterprise Stock Performance

NYSE:HPE opened at $49.16 on Monday. Hewlett Packard Enterprise Company has a 12-month low of $17.49 and a 12-month high of $64.25. The company has a quick ratio of 0.75, a current ratio of 1.09 and a debt-to-equity ratio of 0.72. The firm has a market capitalization of $65.10 billion, a PE ratio of 45.95, a price-to-earnings-growth ratio of 0.78 and a beta of 1.42. The firm has a 50-day moving average price of $31.65 and a 200 day moving average price of $25.67.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last posted its quarterly earnings results on Monday, June 1st. The technology company reported $0.79 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.54 by $0.25. The firm had revenue of $10.68 billion during the quarter, compared to analyst estimates of $9.78 billion. Hewlett Packard Enterprise had a net margin of 3.94% and a return on equity of 11.91%. The company's quarterly revenue was up 40.0% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.82) earnings per share. 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. Research analysts anticipate that Hewlett Packard Enterprise Company will post 1.97 earnings per share for the current fiscal year.

Hewlett Packard Enterprise Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 16th will be issued a dividend of $0.1425 per share. The ex-dividend date of this dividend is Tuesday, June 16th. This represents a $0.57 annualized dividend and a dividend yield of 1.2%. Hewlett Packard Enterprise's dividend payout ratio (DPR) is presently 53.27%.

Insider Activity at Hewlett Packard Enterprise

In other news, EVP Neil B. Macdonald sold 24,251 shares of the firm's stock in a transaction that occurred on Monday, April 20th. The shares were sold at an average price of $27.01, for a total transaction of $655,019.51. Following the completion of the sale, the executive vice president owned 32,243 shares of the company's stock, valued at approximately $870,883.43. This trade represents a 42.93% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Fidelma Russo sold 17,001 shares of the firm's stock in a transaction that occurred on Tuesday, April 21st. The stock was sold at an average price of $27.97, for a total transaction of $475,517.97. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 702,402 shares of company stock valued at $18,440,171. Insiders own 0.44% of the company's stock.

About Hewlett Packard Enterprise

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.

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