NYSE:HPE

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Hewlett Packard Enterprise

Executive Summary

Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data from edge to cloud. More Details


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

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 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.6%

HPE

6.9%

US Tech

3.9%

US Market


1 Year Return

-35.4%

HPE

99.4%

US Tech

18.5%

US Market

Return vs Industry: HPE underperformed the US Tech industry which returned 98% over the past year.

Return vs Market: HPE underperformed the US Market which returned 17.2% over the past year.


Shareholder returns

HPEIndustryMarket
7 Day2.6%6.9%3.9%
30 Day-1.1%-13.3%-4.3%
90 Day-0.4%26.2%8.1%
1 Year-32.6%-35.4%101.7%99.4%21.2%18.5%
3 Year-30.5%-36.8%184.9%172.4%38.2%29.0%
5 Yearn/a313.9%277.4%84.3%63.4%

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

Valuation

Is Hewlett Packard Enterprise undervalued compared to its fair value and its price relative to the market?

20.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HPE ($9.37) is trading below our estimate of fair value ($11.84)

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 (12168.8x) compared to the US Tech industry average (20.9x).

PE vs Market: HPE is poor value based on its PE Ratio (12168.8x) compared to the US market (17.9x).


Price to Earnings Growth Ratio

PEG Ratio: HPE is poor value based on its PEG Ratio (186.3x)


Price to Book Ratio

PB vs Industry: HPE is good value based on its PB Ratio (0.7x) compared to the US Tech industry average (1.5x).


Next Steps

Future Growth

How is Hewlett Packard Enterprise forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?

65.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HPE's forecast earnings growth (65.3% per year) is above the savings rate (2.2%).

Earnings vs Market: HPE's earnings (65.3% per year) are forecast to grow faster than the US market (22.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: HPE's revenue (1.2% per year) is forecast to grow slower than the US market (9.9% per year).

High Growth Revenue: HPE's revenue (1.2% 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 (11.2%).


Next Steps

Past Performance

How has Hewlett Packard Enterprise performed over the past 5 years?

-31.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HPE has a large one-off loss of $1.8B impacting its July 31 2020 financial results.

Growing Profit Margin: HPE became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: HPE's earnings have declined by 31.1% 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 (-0.4%).


Return on Equity

High ROE: HPE's Return on Equity (0.01%) is considered low.


Next Steps

Financial Health

How is Hewlett Packard Enterprise's financial position?


Financial Position Analysis

Short Term Liabilities: HPE's short term assets ($21.4B) do not cover its short term liabilities ($21.6B).

Long Term Liabilities: HPE's short term assets ($21.4B) exceed its long term liabilities ($20.4B).


Debt to Equity History and Analysis

Debt Level: HPE's debt to equity ratio (119.7%) is considered high.

Reducing Debt: HPE's debt to equity ratio has increased from 3.8% to 119.7% over the past 5 years.

Debt Coverage: HPE's debt is not well covered by operating cash flow (15.1%).

Interest Coverage: HPE's interest payments on its debt are well covered by EBIT (9x coverage).


Balance Sheet


Next Steps

Dividend

What is Hewlett Packard Enterprise current dividend yield, its reliability and sustainability?

5.12%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: HPE's dividend (5.12%) is higher than the bottom 25% of dividend payers in the US market (1.72%).

High Dividend: HPE's dividend (5.12%) is in the top 25% of dividend payers in the US market (4.89%)


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 5 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (61363.6%), 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 (30% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.6yrs

Average management tenure


CEO

Antonio Neri (53 yo)

2.58yrs

Tenure

US$13,714,497

Compensation

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 ($USD13.71M) is about average for companies of similar size in the US market ($USD11.35M).

Compensation vs Earnings: Antonio's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Antonio Neri
CEO, President & Director2.58yrsUS$13.71m0.022%
$ 2.6m
Tarek Robbiati
Executive VP & CFO2yrsUS$6.26m0.0061%
$ 732.8k
John Schultz
Executive VP and Chief Operating & Legal Officer0.17yrUS$7.28m0.032%
$ 3.9m
Alan May
Executive VP & Chief People Officer5.25yrsUS$4.06m0.019%
$ 2.3m
Jeff Ricci
Senior VP4.83yrsno datano data
Kumar Sreekanti
Chief Technology Officer & Head of Softwareno datano datano data
Andrew Simanek
VP, Head of Investor Relations & Directorno datano datano data
Rishi Varma
Senior VPno datano datano data
Glenn Leon
Chief Ethics & Compliance Officerno datano datano data
Sonalee Parekh
Senior VP of Corporate Development & Investor Relations and Advisor to the CFO0.83yrno datano data
Jim Jackson
Chief Marketing Officerno datano datano data
Ric Lewis
Senior VP and GM of Software Defined & Cloud Group7.83yrsno datano data

2.6yrs

Average Tenure

55.5yo

Average Age

Experienced Management: HPE's management team is considered experienced (2.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Antonio Neri
CEO, President & Director2.58yrsUS$13.71m0.022%
$ 2.6m
Lip-Bu Tan
Independent Director4.83yrsUS$324.98k0.0069%
$ 835.3k
Gary Reiner
Independent Director4.83yrsUS$342.89k0.0092%
$ 1.1m
Ann Livermore
Independent Director4.83yrsUS$325.01k0.0092%
$ 1.1m
Patricia Russo
Independent Non Executive Chairman4.83yrsUS$524.98k0.0012%
$ 143.4k
Mary Wilderotter
Independent Director4.58yrsUS$354.93k0.0044%
$ 527.9k
Pamela Carter
Independent Director4.83yrsUS$348.76k0.0025%
$ 296.5k
Raymond Ozzie
Independent Director4.83yrsUS$342.93k0.0059%
$ 711.2k
Raymond Lane
Independent Director4.83yrsUS$324.98k0.066%
$ 8.0m
George Kurtz
Independent Director1.25yrsUS$202.10k0.00090%
$ 108.5k
Daniel Ammann
Independent Director4.83yrsUS$325.01k0.0047%
$ 567.7k
Jean Hobby
Independent Director1.67yrsUS$335.85k0.0013%
$ 159.1k

4.8yrs

Average Tenure

62.5yo

Average Age

Experienced Board: HPE's board of directors are considered experienced (4.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Hewlett Packard Enterprise Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hewlett Packard Enterprise Company
  • Ticker: HPE
  • Exchange: NYSE
  • Founded: 1939
  • Industry: Technology Hardware, Storage and Peripherals
  • Sector: Tech
  • Market Cap: US$12.053b
  • Shares outstanding: 1.29b
  • Website: https://www.hpe.com

Number of Employees


Location

  • Hewlett Packard Enterprise Company
  • 6280 America Center Drive
  • San Jose
  • California
  • 95002
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
2HPDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2015
HPENYSE (New York Stock Exchange)YesCommon StockUSUSDOct 2015
HPE *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNOct 2015
2HPXTRA (XETRA Trading Platform)YesCommon StockDEEUROct 2015
0J51LSE (London Stock Exchange)YesCommon StockGBUSDOct 2015
2HPETLX (Eurotlx)YesCommon StockITEUROct 2015
HPEWBAG (Wiener Boerse AG)YesCommon StockATEUROct 2015
H1PE34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COMBRBRLDec 2019

Biography

Hewlett Packard Enterprise Company provides solutions that allow customers to capture, analyze, and act upon data from edge to cloud. The company offers industry standard servers for multi-workload computi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/01 00:34
End of Day Share Price2020/09/30 00:00
Earnings2020/07/31
Annual Earnings2019/10/31


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.