Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data seamlessly. More Details
Fair value with moderate growth potential.
Share Price & News
How has Hewlett Packard Enterprise's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HPE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: HPE's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: HPE exceeded the US Tech industry which returned 50.5% over the past year.
Return vs Market: HPE exceeded the US Market which returned 42.6% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Hewlett Packard Enterprise's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StDividend Investors: Don't Be Too Quick To Buy Hewlett Packard Enterprise Company (NYSE:HPE) For Its Upcoming Dividend
2 weeks ago | Simply Wall StAre Investors Undervaluing Hewlett Packard Enterprise Company (NYSE:HPE) By 31%?
1 month ago | Simply Wall StWhat Kind Of Shareholders Hold The Majority In Hewlett Packard Enterprise Company's (NYSE:HPE) Shares?
Is Hewlett Packard Enterprise undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HPE ($14.46) is trading below our estimate of fair value ($22.44)
Significantly Below Fair Value: HPE is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: HPE is poor value based on its PE Ratio (29x) compared to the US Tech industry average (23.2x).
PE vs Market: HPE is poor value based on its PE Ratio (29x) compared to the US market (19.2x).
Price to Earnings Growth Ratio
PEG Ratio: HPE is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: HPE is good value based on its PB Ratio (1.1x) compared to the US Tech industry average (3.2x).
How is Hewlett Packard Enterprise forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HPE's forecast earnings growth (21% per year) is above the savings rate (2%).
Earnings vs Market: HPE's earnings (21% per year) are forecast to grow faster than the US market (15.7% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: HPE's revenue (1.6% per year) is forecast to grow slower than the US market (9.5% per year).
High Growth Revenue: HPE's revenue (1.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HPE's Return on Equity is forecast to be low in 3 years time (15.1%).
How has Hewlett Packard Enterprise performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HPE has a large one-off loss of $1.2B impacting its April 30 2021 financial results.
Growing Profit Margin: HPE became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: HPE's earnings have declined by 46.5% per year over the past 5 years.
Accelerating Growth: HPE has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: HPE has become profitable in the last year, making it difficult to compare its past year earnings growth to the Tech industry (33.4%).
Return on Equity
High ROE: HPE's Return on Equity (3.9%) is considered low.
How is Hewlett Packard Enterprise's financial position?
Financial Position Analysis
Short Term Liabilities: HPE's short term assets ($16.7B) do not cover its short term liabilities ($18.0B).
Long Term Liabilities: HPE's short term assets ($16.7B) do not cover its long term liabilities ($19.5B).
Debt to Equity History and Analysis
Debt Level: HPE's debt to equity ratio (88.4%) is considered high.
Reducing Debt: HPE's debt to equity ratio has increased from 50.6% to 88.4% over the past 5 years.
Debt Coverage: HPE's debt is well covered by operating cash flow (27.3%).
Interest Coverage: HPE earns more interest than it pays, so coverage of interest payments is not a concern.
What is Hewlett Packard Enterprise current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HPE's dividend (3.32%) is higher than the bottom 25% of dividend payers in the US market (1.3%).
High Dividend: HPE's dividend (3.32%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, HPE has been paying a dividend for less than 10 years.
Growing Dividend: HPE's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (96.2%), HPE's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HPE's dividends in 3 years are forecast to be well covered by earnings (26.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Antonio Neri (53 yo)
Mr. Antonio Fabio Neri has been President of Hewlett Packard Enterprise Company since June 21, 2017. Mr. Neri has been Chief Executive Officer and Director of Hewlett Packard Enterprise Company since Febru...
CEO Compensation Analysis
Compensation vs Market: Antonio's total compensation ($USD13.49M) is about average for companies of similar size in the US market ($USD11.28M).
Compensation vs Earnings: Antonio's compensation has been consistent with company performance over the past year.
Experienced Management: HPE's management team is considered experienced (3.3 years average tenure).
Experienced Board: HPE's board of directors are considered experienced (5.6 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: HPE insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Hewlett Packard Enterprise Company's company bio, employee growth, exchange listings and data sources
- Name: Hewlett Packard Enterprise Company
- Ticker: HPE
- Exchange: NYSE
- Founded: 1939
- Industry: Technology Hardware, Storage and Peripherals
- Sector: Tech
- Market Cap: US$18.884b
- Shares outstanding: 1.31b
- Website: https://www.hpe.com
Number of Employees
- Hewlett Packard Enterprise Company
- 11445 Compaq Center West Drive
- United States
Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data seamlessly. The company offers general purpose servers for multi-workload computing and wor...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/24 03:43|
|End of Day Share Price||2021/06/23 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.