Hewlett Packard Enterprise (NYSE:HPE) Given New $39.00 Price Target at Citigroup

Key Points

• Citigroup raised its price target on Hewlett Packard Enterprise from $27 to $39 and kept a buy rating, implying about 15% upside from the current share price.
• HPE shares rose 5.8% to $33.93 on heavy trading volume, approaching the stock’s 52-week high of $34.70.
• The company recently reported strong quarterly results, beating EPS expectations and posting 18.4% year-over-year revenue growth, while several analysts and institutions remain constructive on the stock.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) had its price objective upped by analysts at Citigroup from $27.00 to $39.00 in a report released on Thursday,Benzinga reports. The firm presently has a "buy" rating on the technology company's stock. Citigroup's target price points to a potential upside of 14.96% from the stock's current price.

A number of other analysts have also recently commented on the company. Wall Street Zen upgraded Hewlett Packard Enterprise from a "hold" rating to a "buy" rating in a research report on Saturday, May 9th. Bank of America lifted their price target on Hewlett Packard Enterprise from $29.00 to $32.00 and gave the stock a "buy" rating in a research report on Tuesday, March 10th. Truist Financial assumed coverage on Hewlett Packard Enterprise in a report on Tuesday, March 31st. They issued a "buy" rating and a $31.00 price objective for the company. Morgan Stanley raised their target price on shares of Hewlett Packard Enterprise from $23.00 to $25.00 and gave the stock an "equal weight" rating in a research report on Tuesday, March 10th. Finally, Raymond James Financial reaffirmed an "outperform" rating and issued a $29.00 target price (down from $30.00) on shares of Hewlett Packard Enterprise in a report on Monday, April 13th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and eleven have issued a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $27.41.

Hewlett Packard Enterprise Stock Up 5.8%

HPE stock traded up $1.86 during midday trading on Thursday, reaching $33.93. 28,419,646 shares of the company were exchanged, compared to its average volume of 17,412,396. The company has a market cap of $45.01 billion, a price-to-earnings ratio of -178.44, a price-to-earnings-growth ratio of 0.78 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 has a 1-year low of $17.02 and a 1-year high of $34.70. The stock's 50-day simple moving average is $25.24 and its 200 day simple moving average is $23.61.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last issued its earnings results on Monday, March 9th. The technology company reported $0.65 earnings per share (EPS) for the quarter, beating 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 business had revenue of $9.30 billion during the quarter, compared to analysts' expectations of $9.31 billion. During the same quarter in the prior year, the business posted $0.49 EPS. The company'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. On average, equities analysts forecast that Hewlett Packard Enterprise will post 1.96 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Bethany Mayer sold 6,482 shares of the business's stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $29.10, for a total value of $188,626.20. Following the transaction, the director owned 8,018 shares of the company's stock, valued at approximately $233,323.80. The trade was a 44.70% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Marie Myers sold 93,583 shares of the company's stock in a transaction that occurred on Tuesday, May 5th. The stock was sold at an average price of $30.01, for a total value of $2,808,425.83. Following the sale, the chief financial officer owned 204,754 shares of the company's stock, valued at $6,144,667.54. This trade represents a 31.37% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 702,402 shares of company stock worth $18,440,171. 0.44% of the stock is currently owned by insiders.

Institutional Trading of Hewlett Packard Enterprise

Hedge funds and other institutional investors have recently made changes to their positions in the company. State of Wyoming raised its holdings in Hewlett Packard Enterprise by 83.1% during the first quarter. State of Wyoming now owns 60,273 shares of the technology company's stock worth $1,435,000 after purchasing an additional 27,352 shares in the last quarter. Cetera Investment Advisers boosted its holdings in Hewlett Packard Enterprise by 2.9% in the 1st quarter. Cetera Investment Advisers now owns 248,196 shares of the technology company's stock valued at $5,910,000 after purchasing an additional 6,882 shares in the last quarter. First Citizens Bank & Trust Co. increased its position in Hewlett Packard Enterprise by 4.5% during the 1st quarter. First Citizens Bank & Trust Co. now owns 13,507 shares of the technology company's stock worth $322,000 after purchasing an additional 587 shares during the period. ABN Amro Investment Solutions increased its position in Hewlett Packard Enterprise by 5.5% during the 1st quarter. ABN Amro Investment Solutions now owns 68,958 shares of the technology company's stock worth $1,642,000 after purchasing an additional 3,602 shares during the period. Finally, Oslo Pensjonsforsikring AS purchased a new position in shares of Hewlett Packard Enterprise during the 1st quarter worth approximately $314,000. Hedge funds and other institutional investors own 80.78% of the company's stock.

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.

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