Wall Street Zen Downgrades Hewlett Packard Enterprise (NYSE:HPE) to Hold

Key Points

• Wall Street Zen downgraded Hewlett Packard Enterprise from a "buy" to a "hold" in a report issued Saturday.
• Analyst consensus remains a Moderate Buy with a $26.71 average price target, while several firms (Bank of America, Goldman Sachs, Truist) maintain or raised targets in the roughly $29–$32 range.
• HPE reported $0.65 EPS (beating estimates) and $9.30B revenue (up 18.4% YoY), and set FY2026 guidance of 2.30–2.50 EPS with Q2 guidance of 0.510–0.550.

Hewlett Packard Enterprise (NYSE:HPE - Get Free Report) was downgraded by stock analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research report issued on Saturday.

A number of other equities analysts also recently commented on HPE. Morgan Stanley increased their price objective on Hewlett Packard Enterprise from $23.00 to $25.00 and gave the stock an "equal weight" rating in a report on Tuesday, March 10th. Truist Financial started coverage on Hewlett Packard Enterprise in a report on Tuesday, March 31st. They issued a "buy" rating and a $31.00 price objective on the stock. Bank of America increased their price objective on Hewlett Packard Enterprise from $29.00 to $32.00 and gave the stock a "buy" rating in a report on Tuesday, March 10th. The Goldman Sachs Group started coverage on Hewlett Packard Enterprise in a report on Tuesday, January 13th. They issued a "buy" rating and a $31.00 price objective on the stock. Finally, Raymond James Financial restated an "outperform" rating and issued a $29.00 price objective (down from $30.00) on shares of Hewlett Packard Enterprise in a report on Monday, April 13th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating and eleven have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $26.71.

Hewlett Packard Enterprise Price Performance

Shares of HPE opened at $28.18 on Friday. The company has a market capitalization of $37.39 billion, a price-to-earnings ratio of -148.32, a P/E/G ratio of 0.72 and a beta of 1.20. Hewlett Packard Enterprise has a fifty-two week low of $15.71 and a fifty-two week high of $29.63. The company has a debt-to-equity ratio of 0.71, a current ratio of 1.03 and a quick ratio of 0.75. The business's 50-day moving average is $23.36 and its 200-day moving average is $23.18.

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 for the quarter, beating analysts' consensus estimates of $0.59 by $0.06. The company had revenue of $9.30 billion for the quarter, compared to the consensus estimate of $9.31 billion. Hewlett Packard Enterprise had a positive return on equity of 9.93% and a negative net margin of 0.41%.The firm's quarterly revenue was up 18.4% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.49 EPS. 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. Equities research analysts expect that Hewlett Packard Enterprise will post 1.96 EPS for the current fiscal year.

Insider Activity

In other news, EVP Fidelma Russo sold 17,001 shares of the stock in a transaction that occurred on Tuesday, April 21st. The stock was sold at an average price of $27.97, for a total value of $475,517.97. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Neil B. Macdonald sold 24,251 shares of the stock in a transaction that occurred on Monday, April 20th. The shares were sold at an average price of $27.01, for a total value of $655,019.51. Following the completion of the sale, the executive vice president directly owned 32,243 shares of the company's stock, valued at $870,883.43. This represents a 42.93% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last three months, insiders sold 602,337 shares of company stock valued at $15,443,119. 0.44% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. TFC Financial Management Inc. lifted its position in Hewlett Packard Enterprise by 2,694.4% in the third quarter. TFC Financial Management Inc. now owns 1,006 shares of the technology company's stock worth $25,000 after purchasing an additional 970 shares during the period. Annis Gardner Whiting Capital Advisors LLC lifted its position in Hewlett Packard Enterprise by 176.7% in the third quarter. Annis Gardner Whiting Capital Advisors LLC now owns 1,043 shares of the technology company's stock worth $26,000 after purchasing an additional 666 shares during the period. SJS Investment Consulting Inc. lifted its position in Hewlett Packard Enterprise by 159.5% in the first quarter. SJS Investment Consulting Inc. now owns 1,165 shares of the technology company's stock worth $28,000 after purchasing an additional 716 shares during the period. Chilton Capital Management LLC bought a new position in Hewlett Packard Enterprise in the third quarter worth $30,000. Finally, Headlands Technologies LLC bought a new position in Hewlett Packard Enterprise in the second quarter worth $26,000. 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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