Hewlett Packard Enterprise (NYSE:HPE) Shares Climb 4.1% – Still a Buy?

by · The Markets Daily

Hewlett Packard Enterprise Company (NYSE:HPE – Get Free Report) shares were up 4.1% during mid-day trading on Wednesday. The stock traded as high as $67.10 and last traded at $64.0220. 32,457,240 shares were traded during trading, an increase of 52% from the average daily volume of 21,347,873 shares. The stock had previously closed at $61.49.

Key Hewlett Packard Enterprise News

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

  • Positive Sentiment: $1.2 billion Vultr order: HPE secured its first order for AMD Helios AI Rack systems. Cloud infrastructure provider Vultr plans to deploy the systems across its U.S. data centers, giving HPE a significant customer for AMD’s latest rack-scale AI platform and reinforcing its position in AI infrastructure. HPE Secures Its First AMD Helios Order in $1.2 Billion Deal With Vultr
  • Positive Sentiment: Networking growth outlook raised: At its Networking Investor Day, HPE outlined plans to accelerate profitable growth across data-center networking, routing, campus and branch products, and security. The company raised its long-term revenue growth expectations for networking, citing demand generated by AI infrastructure expansion. HPE boosts networking growth outlook, gets $1.2 billion AI order from cloud firm Vultr
  • Positive Sentiment: AI platform validation: The AMD Helios systems combine AMD computing with HPE networking hardware and software, potentially expanding HPE’s role in large-scale enterprise and service-provider AI deployments. The announcement also improves visibility into future AI infrastructure revenue. Hewlett Packard Enterprise Stock Soars to Fresh Record on Raised Revenue Targets, $1.2B Server Deal
  • Neutral Sentiment: Expectations and execution matter: HPE has already experienced a substantial 2026 rally, so investors may demand timely delivery of the Vultr systems, successful scaling of AMD Helios deployments, and evidence that the upgraded networking targets translate into sustained earnings growth.

Wall Street Analysts Forecast Growth

A number of equities research analysts have commented on HPE shares. Argus reaffirmed a “buy” rating and issued a $70.00 target price on shares of Hewlett Packard Enterprise in a research report on Friday, September 4th. The Goldman Sachs Group increased their target price on shares of Hewlett Packard Enterprise from $32.00 to $79.00 and gave the stock a “buy” rating in a report on Wednesday, June 3rd. Bank of America raised their target price on shares of Hewlett Packard Enterprise from $80.00 to $82.00 and gave the stock a “buy” rating in a research note on Monday, August 31st. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Hewlett Packard Enterprise in a research report on Tuesday, September 1st. They issued a “buy” rating and a $62.00 price target for the company. Finally, Susquehanna increased their price objective on shares of Hewlett Packard Enterprise from $21.00 to $65.00 and gave the stock a “neutral” rating in a research note on Tuesday, June 2nd. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $69.18.

Read Our Latest Report on Hewlett Packard Enterprise

Hewlett Packard Enterprise Price Performance

The firm has a 50 day moving average of $54.72 and a 200-day moving average of $42.45. The company has a current ratio of 1.11, a quick ratio of 0.72 and a debt-to-equity ratio of 0.65. The company has a market cap of $84.99 billion, a P/E ratio of 33.34, a P/E/G ratio of 0.56 and a beta of 1.43.

Hewlett Packard Enterprise (NYSE:HPE – Get Free Report) last posted its quarterly earnings results on Wednesday, September 2nd. The technology company reported $1.11 earnings per share for the quarter, topping the consensus estimate of $0.93 by $0.18. The business had revenue of $12.21 billion during the quarter, compared to the consensus estimate of $11.97 billion. Hewlett Packard Enterprise had a return on equity of 15.50% and a net margin of 6.60%.The firm’s revenue for the quarter was up 33.7% compared to the same quarter last year. During the same period in the prior year, the company posted $0.44 EPS. Hewlett Packard Enterprise has set its Q4 2026 guidance at 1.200-1.300 EPS and its FY 2026 guidance at 3.750-3.850 EPS. On average, equities research analysts predict that Hewlett Packard Enterprise Company will post 3.34 EPS for the current year.

Hewlett Packard Enterprise Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, October 16th. Investors of record on Thursday, September 17th will be paid a dividend of $0.1425 per share. This represents a $0.57 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Thursday, September 17th. Hewlett Packard Enterprise’s dividend payout ratio (DPR) is presently 29.69%.

Insider Buying and Selling at Hewlett Packard Enterprise

In other Hewlett Packard Enterprise news, CEO Antonio Neri sold 250,000 shares of Hewlett Packard Enterprise stock in a transaction on Friday, September 11th. The shares were sold at an average price of $60.44, for a total value of $15,110,000.00. Following the sale, the chief executive officer directly owned 1,432,393 shares in the company, valued at approximately $86,573,832.92. The trade was a 14.86% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Gary M. Reiner sold 17,000 shares of the business’s stock in a transaction on Monday, September 14th. The stock was sold at an average price of $56.91, for a total transaction of $967,470.00. Following the completion of the sale, the director owned 65,072 shares in the company, valued at approximately $3,703,247.52. The trade was a 20.71% decrease in their position. The SEC filing for this sale provides additional information. Company insiders own 0.44% of the company’s stock.

Institutional Investors Weigh In On Hewlett Packard Enterprise

Hedge funds have recently made changes to their positions in the company. CIBC Asset Management Inc raised its position in Hewlett Packard Enterprise by 60.2% during the fourth quarter. CIBC Asset Management Inc now owns 337,691 shares of the technology company’s stock valued at $8,111,000 after purchasing an additional 126,938 shares during the period. Irenic Capital Management LP purchased a new position in shares of Hewlett Packard Enterprise in the 1st quarter worth approximately $18,691,000. Assenagon Asset Management S.A. increased its position in shares of Hewlett Packard Enterprise by 387.9% during the 2nd quarter. Assenagon Asset Management S.A. now owns 1,240,000 shares of the technology company’s stock valued at $55,936,000 after purchasing an additional 985,829 shares during the last quarter. State of Wyoming purchased a new stake in Hewlett Packard Enterprise during the 2nd quarter valued at $1,271,000. Finally, Sapient Capital LLC bought a new stake in Hewlett Packard Enterprise in the second quarter worth $987,000. 80.78% of the stock is currently owned by hedge funds and other institutional investors.

Hewlett Packard Enterprise Company Profile

(Get Free Report)

Hewlett Packard Enterprise Company (NYSE:HPE) is a global technology company that provides information technology products, services and solutions for businesses, governments and other organizations. Its offerings are designed to help customers build, manage and secure data center, cloud and edge-computing environments.

HPE’s portfolio includes enterprise servers, high-performance computing systems, data storage, networking equipment, software and technology consulting services. The company also provides hybrid cloud and as-a-service solutions through HPE GreenLake, allowing customers to access and manage computing, storage, data protection and other IT capabilities through a flexible consumption model.

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