Hewlett Packard Enterprise (NYSE:HPE) Price Target Raised to $71.00

Key Points

• Morgan Stanley raised its price target on Hewlett Packard Enterprise from $33 to $71 and kept an equal weight rating, implying about 24% upside from the current price.
• HPE beat quarterly expectations with $0.79 EPS on $10.68 billion in revenue, helped by strong demand and a 40% year-over-year revenue increase.
• The company lifted its FY2026 guidance and said surging AI compute demand is accelerating progress, prompting it to pull forward long-term financial targets by two years.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) had its target price lifted by stock analysts at Morgan Stanley from $33.00 to $71.00 in a note issued to investors on Tuesday,Benzinga reports. The firm currently has an "equal weight" rating on the technology company's stock. Morgan Stanley's price target suggests a potential upside of 24.16% from the company's current price.

Other research analysts also recently issued reports about the stock. Truist Financial started coverage on shares of Hewlett Packard Enterprise in a research report on Tuesday, March 31st. They set a "buy" rating and a $31.00 target price on the stock. UBS Group upped their price target on Hewlett Packard Enterprise from $25.00 to $65.00 and gave the company a "neutral" rating in a research note on Tuesday. Citigroup increased their target price on Hewlett Packard Enterprise from $27.00 to $39.00 and gave the stock a "buy" rating in a research note on Thursday, May 14th. Weiss Ratings reissued a "hold (c-)" rating on shares of Hewlett Packard Enterprise in a research note on Wednesday, March 25th. Finally, JPMorgan Chase & Co. increased their target price on Hewlett Packard Enterprise from $37.00 to $68.00 and gave the stock an "overweight" rating in a research note on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and ten have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average price target of $53.12.

Hewlett Packard Enterprise Price Performance

Shares of HPE traded up $14.15 during trading hours on Tuesday, hitting $57.19. The stock had a trading volume of 106,917,826 shares, compared to its average volume of 19,915,974. The company's fifty day moving average is $29.23 and its two-hundred day moving average is $24.80. The stock has a market capitalization of $75.88 billion, a price-to-earnings ratio of -249.32, a P/E/G ratio of 1.10 and a beta of 1.28. The company has a debt-to-equity ratio of 0.71, a current ratio of 1.03 and a quick ratio of 0.75. Hewlett Packard Enterprise has a 52 week low of $17.02 and a 52 week high of $47.97.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) last issued 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 business had revenue of $10.68 billion for the quarter, compared to the consensus estimate of $9.78 billion. Hewlett Packard Enterprise had a negative net margin of 0.41% and a positive return on equity of 9.93%. The firm's quarterly revenue was up 40.0% on a year-over-year basis. During the same quarter in the prior year, the company earned ($0.82) EPS. 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 anticipate that Hewlett Packard Enterprise will post 1.97 EPS for the current year.

Insider Buying and Selling

In other news, CEO Antonio F. Neri sold 150,000 shares of the stock in a transaction that occurred on Friday, April 17th. The stock was sold at an average price of $26.50, for a total value of $3,975,000.00. Following the completion of 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 position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Bethany Mayer sold 6,482 shares of the stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $29.10, for a total value of $188,626.20. Following the completion of the sale, the director directly owned 8,018 shares of the company's stock, valued at approximately $233,323.80. The trade was a 44.70% 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. Insiders have sold a total of 702,402 shares of company stock worth $18,440,171 in the last quarter. 0.44% of the stock is owned by company insiders.

Institutional Investors Weigh In On Hewlett Packard Enterprise

Several large investors have recently made changes to their positions in HPE. SJS Investment Consulting Inc. lifted its holdings in shares of Hewlett Packard Enterprise by 159.5% during the first quarter. SJS Investment Consulting Inc. now owns 1,165 shares of the technology company's stock worth $28,000 after buying an additional 716 shares in the last quarter. Headlands Technologies LLC acquired a new stake in shares of Hewlett Packard Enterprise during the second quarter worth $26,000. Union Savings Bank acquired a new stake in shares of Hewlett Packard Enterprise during the fourth quarter worth $30,000. Reflection Asset Management acquired a new stake in shares of Hewlett Packard Enterprise during the fourth quarter worth $31,000. Finally, Clearstead Trust LLC lifted 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. Institutional investors and hedge funds own 80.78% of the company's stock.

Key Hewlett Packard Enterprise News

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

• Positive Sentiment: HPE reported fiscal Q2 revenue of $10.68 billion and EPS of $0.79, both well above Wall Street estimates, marking a major earnings beat and signaling stronger operating momentum. HPE Reports Fiscal 2026 Second Quarter Results
• Positive Sentiment: The company raised full-year FY2026 guidance to $3.35-$3.45 in EPS and $44.2 billion-$45.6 billion in revenue, and also lifted Q3 guidance, reinforcing confidence in future growth. HPE expects to achieve 2028 financial targets this year after record quarter on AI boom
• Positive Sentiment: Management said surging AI compute demand is accelerating long-term progress, and HPE pulled forward its long-term financial targets by two years, a sign that the AI buildout is translating into faster-than-expected results. HPE Pulls Forward Long-Term Targets as Surging AI Compute Demand Boosts Revenue
• Positive Sentiment: Several analysts turned more constructive after the report, with JPMorgan, Raymond James, Bank of America, and Loop Capital raising targets or upgrading the stock, which can help support further investor sentiment. Analyst target raises via Benzinga
• Neutral Sentiment: HPE also announced a quarterly dividend of $0.1425 per share, a routine capital-return update that is not likely the main driver of the stock move. HPE Reports Fiscal 2026 Second Quarter Results

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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