Hewlett Packard Enterprise (NYSE:HPE) Stock Price Expected to Rise, Citigroup Analyst Says

Key Points

• Citigroup raised its price target on Hewlett Packard Enterprise from $70 to $74 and kept a buy rating, implying about 55% upside from the prior close.
• HPE’s latest quarterly results beat expectations, with EPS of $0.79 and revenue of $10.68 billion, while revenue jumped 40% year over year.
• Analyst sentiment remains broadly positive: the stock has a Moderate Buy consensus with an average price target of $67.31, even as some insiders recently sold shares.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) had its price objective upped by investment analysts at Citigroup from $70.00 to $74.00 in a research report issued on Friday,Benzinga reports. The brokerage presently has a "buy" rating on the technology company's stock. Citigroup's price objective would suggest a potential upside of 55.24% from the stock's previous close.

A number of other equities analysts have also recently commented on the company. Truist Financial reissued a "buy" rating and set a $69.00 price target (up from $31.00) on shares of Hewlett Packard Enterprise in a research report on Tuesday, June 2nd. JPMorgan Chase & Co. raised their price objective on Hewlett Packard Enterprise from $37.00 to $68.00 and gave the company an "overweight" rating in a research report on Tuesday, June 2nd. Morgan Stanley lifted their target price on Hewlett Packard Enterprise from $33.00 to $71.00 and gave the stock an "equal weight" rating in a research note on Tuesday, June 2nd. Susquehanna upped their price objective on shares of Hewlett Packard Enterprise from $21.00 to $65.00 and gave the company a "neutral" rating in a report on Tuesday, June 2nd. Finally, Sanford C. Bernstein increased their price target on shares of Hewlett Packard Enterprise from $35.00 to $62.00 and gave the company a "market perform" rating in a report on Tuesday, June 2nd. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $67.31.

Hewlett Packard Enterprise Price Performance

Shares of NYSE HPE opened at $47.67 on Friday. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.09 and a quick ratio of 0.75. The business has a 50-day moving average of $44.83 and a 200-day moving average of $31.27. The stock has a market capitalization of $63.12 billion, a price-to-earnings ratio of 44.55, a PEG ratio of 0.52 and a beta of 1.42. Hewlett Packard Enterprise has a fifty-two week low of $19.64 and a fifty-two week high of $64.25.

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 for the quarter, beating analysts' consensus estimates of $0.54 by $0.25. The firm had revenue of $10.68 billion during the quarter, compared to the consensus estimate of $9.78 billion. Hewlett Packard Enterprise had a return on equity of 11.91% and a net margin of 3.94%.The business's revenue was up 40.0% compared to the same quarter last year. During the same period last year, the company earned ($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. As a group, sell-side analysts predict that Hewlett Packard Enterprise will post 2.88 earnings per share for the current fiscal year.

Insider Buying and Selling at Hewlett Packard Enterprise

In other news, SVP Kirt P. Karros sold 18,785 shares of the company's stock in a transaction on Monday, June 22nd. The stock was sold at an average price of $48.50, for a total transaction of $911,072.50. 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, Director Bethany Mayer sold 6,482 shares of the firm's stock in a transaction dated 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 transaction, the director directly owned 8,018 shares in the company, valued at approximately $233,323.80. This represents a 44.70% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 118,850 shares of company stock valued at $3,908,125 in the last three months. Corporate insiders own 0.44% of the company's stock.

Institutional Investors Weigh In On Hewlett Packard Enterprise

Several hedge funds and other institutional investors have recently made changes to their positions in HPE. Mirae Asset Global Investments Co. Ltd. lifted its holdings in shares of Hewlett Packard Enterprise by 24.1% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 215,593 shares of the technology company's stock worth $5,179,000 after acquiring an additional 41,896 shares during the last quarter. Freemont Management S.A. grew its holdings in shares of Hewlett Packard Enterprise by 197.1% during the 4th quarter. Freemont Management S.A. now owns 217,200 shares of the technology company's stock valued at $5,217,000 after purchasing an additional 144,100 shares during the last quarter. CIBC Asset Management Inc lifted its stake in Hewlett Packard Enterprise by 60.2% in the fourth quarter. CIBC Asset Management Inc now owns 337,691 shares of the technology company's stock worth $8,111,000 after purchasing an additional 126,938 shares during the last quarter. Vanguard Group Inc. lifted its stake in shares of Hewlett Packard Enterprise by 1.1% in the 4th quarter. Vanguard Group Inc. now owns 173,058,714 shares of the technology company's stock valued at $4,156,870,000 after acquiring an additional 1,917,719 shares during the last quarter. Finally, Merit Financial Group LLC boosted its holdings in Hewlett Packard Enterprise by 133.8% during the 4th quarter. Merit Financial Group LLC now owns 96,825 shares of the technology company's stock valued at $2,326,000 after acquiring an additional 55,410 shares during the period. 80.78% of the stock is owned by institutional investors.

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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