Genus Capital Management Inc. Lowers Stake in Hewlett Packard Enterprise Company $HPE

Key Points

• Genus Capital Management reduced its Hewlett Packard Enterprise stake by 46.1% in the fourth quarter, though it still held 107,803 shares worth about $2.59 million.
• HPE reported strong quarterly results, with EPS of $0.65 beating estimates and revenue rising 18.4% year over year to $9.3 billion, while also issuing FY 2026 guidance of $2.30 to $2.50 per share.
• Insiders sold shares during the quarter, including CEO Antonio F. Neri and Director Bethany Mayer, even as Wall Street maintained a generally positive view with a Moderate Buy consensus and an average price target of $27.88.

Genus Capital Management Inc. cut its position in shares of Hewlett Packard Enterprise Company (NYSE:HPE - Free Report) by 46.1% in the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 107,803 shares of the technology company's stock after selling 92,290 shares during the quarter. Genus Capital Management Inc.'s holdings in Hewlett Packard Enterprise were worth $2,589,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also modified their holdings of HPE. Annis Gardner Whiting Capital Advisors LLC grew its holdings in shares of Hewlett Packard Enterprise by 176.7% during the third quarter. Annis Gardner Whiting Capital Advisors LLC now owns 1,043 shares of the technology company's stock worth $26,000 after buying an additional 666 shares in the last quarter. Headlands Technologies LLC purchased a new stake in shares of Hewlett Packard Enterprise during the second quarter worth about $26,000. Chilton Capital Management LLC purchased a new stake in shares of Hewlett Packard Enterprise during the third quarter worth about $30,000. Clearstead Trust LLC grew its holdings in shares of Hewlett Packard Enterprise by 93.8% during the third quarter. Clearstead Trust LLC now owns 1,291 shares of the technology company's stock worth $32,000 after buying an additional 625 shares in the last quarter. Finally, Thompson Investment Management Inc. purchased a new stake in shares of Hewlett Packard Enterprise during the fourth quarter worth about $34,000. 80.78% of the stock is currently owned by hedge funds and other institutional investors.

Hewlett Packard Enterprise Price Performance

Hewlett Packard Enterprise stock opened at $37.60 on Monday. Hewlett Packard Enterprise Company has a 1 year low of $17.02 and a 1 year high of $37.75. The firm has a 50 day moving average price of $27.00 and a 200 day moving average price of $24.09. The company has a market cap of $49.89 billion, a price-to-earnings ratio of -197.88, a PEG ratio of 0.97 and a beta of 1.28. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.75 and a current ratio of 1.03.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last released its quarterly earnings data on Monday, March 9th. The technology company reported $0.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.59 by $0.06. Hewlett Packard Enterprise had a negative net margin of 0.41% and a positive return on equity of 9.93%. The company had revenue of $9.30 billion during the quarter, compared to the consensus estimate of $9.31 billion. During the same period in the previous year, the firm earned $0.49 earnings per share. Hewlett Packard Enterprise's revenue for the quarter was up 18.4% on a year-over-year basis. Hewlett Packard Enterprise has set its FY 2026 guidance at 2.300-2.500 EPS and its Q2 2026 guidance at 0.510-0.550 EPS. Sell-side analysts predict that Hewlett Packard Enterprise Company will post 1.97 earnings per share for the current year.

Hewlett Packard Enterprise Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, April 23rd. Shareholders of record on Tuesday, March 24th were paid a dividend of $0.1425 per share. This represents a $0.57 annualized dividend and a yield of 1.5%. The ex-dividend date was Tuesday, March 24th. Hewlett Packard Enterprise's payout ratio is currently -300.00%.

Insider Activity at Hewlett Packard Enterprise

In other Hewlett Packard Enterprise news, Director Bethany Mayer sold 6,482 shares of the business's stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $29.10, for a total transaction of $188,626.20. Following the completion of the sale, the director directly owned 8,018 shares in the company, valued at $233,323.80. The trade was a 44.70% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Antonio F. Neri sold 150,000 shares of the business's stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $26.50, for a total transaction of $3,975,000.00. Following the sale, the chief executive officer owned 1,687,329 shares of the company's stock, valued at approximately $44,714,218.50. This represents a 8.16% decrease in their ownership of the stock. 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. Insiders sold 702,402 shares of company stock valued at $18,440,171 over the last quarter. Company insiders own 0.44% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages have recently commented on HPE. Truist Financial began coverage on shares of Hewlett Packard Enterprise in a report on Tuesday, March 31st. They set a "buy" rating and a $31.00 price target for the company. Raymond James Financial reiterated an "outperform" rating and set a $29.00 price target (down from $30.00) on shares of Hewlett Packard Enterprise in a report on Monday, April 13th. Weiss Ratings restated a "hold (c-)" rating on shares of Hewlett Packard Enterprise in a report on Wednesday, March 25th. Wall Street Zen upgraded shares of Hewlett Packard Enterprise from a "hold" rating to a "buy" rating in a report on Monday. Finally, Citigroup boosted their target price on shares of Hewlett Packard Enterprise from $27.00 to $39.00 and gave the company a "buy" rating in a report on Thursday, May 14th. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and eleven have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $27.88.

Hewlett Packard Enterprise 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.

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