Hodges Capital Management Inc. Trims Position in Hewlett Packard Enterprise Company $HPE

Key Points

• Hodges Capital Management sharply reduced its Hewlett Packard Enterprise stake by 78.3% in the first quarter, selling 244,576 shares and ending with 67,681 shares worth about $1.61 million.
• HPE’s latest quarterly results beat expectations, with EPS of $0.79 versus $0.54 expected and revenue of $10.68 billion, up 40% year over year. The company also issued FY2026 guidance of 3.35–3.45 EPS.
• Analyst sentiment remains upbeat, with several firms raising price targets and the stock carrying a Moderate Buy consensus and average target of $64.65. HPE also declared a quarterly dividend of $0.1425 per share, yielding about 1.3%.

Hodges Capital Management Inc. cut its stake in shares of Hewlett Packard Enterprise Company (NYSE:HPE - Free Report) by 78.3% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 67,681 shares of the technology company's stock after selling 244,576 shares during the period. Hodges Capital Management Inc.'s holdings in Hewlett Packard Enterprise were worth $1,611,000 at the end of the most recent reporting period.

A number of other large investors also recently modified their holdings of the company. Bogart Wealth LLC boosted its position in shares of Hewlett Packard Enterprise by 54.4% in the first quarter. Bogart Wealth LLC now owns 562,053 shares of the technology company's stock valued at $13,382,000 after acquiring an additional 198,043 shares during the period. Stephens Inc. AR bought a new stake in Hewlett Packard Enterprise during the 1st quarter worth approximately $218,000. V Square Quantitative Management LLC lifted its stake in Hewlett Packard Enterprise by 2.7% in the 1st quarter. V Square Quantitative Management LLC now owns 35,949 shares of the technology company's stock worth $856,000 after purchasing an additional 960 shares in the last quarter. HB Wealth Management LLC lifted its stake in Hewlett Packard Enterprise by 18.9% in the 1st quarter. HB Wealth Management LLC now owns 117,407 shares of the technology company's stock worth $2,795,000 after purchasing an additional 18,683 shares in the last quarter. Finally, Investors Asset Management of Georgia Inc. GA ADV boosted its holdings in Hewlett Packard Enterprise by 8.1% in the 1st quarter. Investors Asset Management of Georgia Inc. GA ADV now owns 29,644 shares of the technology company's stock valued at $706,000 after purchasing an additional 2,220 shares during the period. 80.78% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

HPE has been the topic of several research analyst reports. Raymond James Financial upped their price target on shares of Hewlett Packard Enterprise from $29.00 to $74.00 and gave the stock an "outperform" rating in a report on Tuesday, June 2nd. The Goldman Sachs Group lifted their price objective on Hewlett Packard Enterprise from $32.00 to $79.00 and gave the company a "buy" rating in a research note on Wednesday, June 3rd. Wall Street Zen upgraded Hewlett Packard Enterprise from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, June 10th. Weiss Ratings upgraded Hewlett Packard Enterprise from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Monday, June 29th. Finally, Argus raised their price target on Hewlett Packard Enterprise from $30.00 to $70.00 and gave the company a "buy" rating in a report on Wednesday, June 3rd. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $64.65.

Hewlett Packard Enterprise Price Performance

HPE stock opened at $43.13 on Tuesday. The firm has a 50 day simple moving average of $40.18 and a two-hundred day simple moving average of $29.07. The stock has a market cap of $57.11 billion, a PE ratio of 40.31, a P/E/G ratio of 0.45 and a beta of 1.42. Hewlett Packard Enterprise Company has a one year low of $19.64 and a one 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.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last posted its quarterly earnings data on Monday, June 1st. The technology company reported $0.79 earnings per share for the quarter, beating 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 firm had revenue of $10.68 billion for the quarter, compared to analysts' expectations of $9.78 billion. During the same quarter last year, the company posted ($0.82) EPS. The business's quarterly revenue was up 40.0% on a year-over-year basis. 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, analysts predict that Hewlett Packard Enterprise Company will post 2.88 EPS for the current fiscal year.

Hewlett Packard Enterprise Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Investors of record on Tuesday, June 16th will be paid a $0.1425 dividend. This represents a $0.57 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date of this dividend is Tuesday, June 16th. Hewlett Packard Enterprise's dividend payout ratio is currently 53.27%.

Insider Buying and Selling at Hewlett Packard Enterprise

In other Hewlett Packard Enterprise news, Director Bethany Mayer sold 6,482 shares of Hewlett Packard Enterprise stock in a transaction dated Tuesday, May 5th. The stock was sold at an average price of $29.10, for a total transaction of $188,626.20. Following the completion of the sale, the director owned 8,018 shares of the company's stock, valued at $233,323.80. The trade was a 44.70% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Kirt P. Karros sold 18,785 shares of the company's stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $48.50, for a total value of $911,072.50. 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. Over the last ninety days, insiders have sold 310,102 shares of company stock valued at $9,013,662. 0.44% of the stock is currently owned by company insiders.

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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