Hewlett Packard Enterprise (NYSE:HPE) Downgraded to Hold Rating by Zacks Research

Zacks Research lowered shares of Hewlett Packard Enterprise (NYSE:HPE) from a strong-buy rating to a hold rating in a report released on Monday,Zacks.com reports.

Several other brokerages have also issued reports on HPE. Barclays upped their target price on shares of Hewlett Packard Enterprise from $28.00 to $67.00 and gave the stock an “overweight” rating in a research report on Tuesday, June 2nd. Morgan Stanley lifted their price target 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. Bank of America upped their price objective on Hewlett Packard Enterprise from $38.00 to $80.00 and gave the stock a “buy” rating in a report on Tuesday, June 2nd. Citigroup increased their price objective on Hewlett Packard Enterprise from $70.00 to $74.00 and gave the company a “buy” rating in a research report on Friday, July 24th. Finally, 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 report on Tuesday, June 2nd. Eleven investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $67.31.

Hewlett Packard Enterprise Trading Up 4.3%

Shares of HPE opened at $52.40 on Monday. Hewlett Packard Enterprise has a 1-year low of $19.64 and a 1-year high of $64.25. The company has a market capitalization of $69.39 billion, a P/E ratio of 48.97, a P/E/G ratio of 0.54 and a beta of 1.42. 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 firm’s 50 day simple moving average is $46.91 and its 200 day simple moving average is $32.70.

Hewlett Packard Enterprise (NYSE:HPE) last released its quarterly earnings results on Monday, June 1st. The technology company reported $0.79 EPS for the quarter, topping analysts’ consensus estimates of $0.54 by $0.25. The business had revenue of $10.68 billion during the quarter, compared to analysts’ expectations of $9.78 billion. Hewlett Packard Enterprise had a net margin of 3.94% and a return on equity of 11.91%. The business’s quarterly revenue was up 40.0% compared to the same quarter last year. During the same quarter in the previous year, the company earned ($0.82) EPS. 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. Sell-side analysts forecast that Hewlett Packard Enterprise will post 2.88 earnings per share for the current fiscal year.

Hewlett Packard Enterprise Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, July 15th. Investors of record on Tuesday, June 16th were given a $0.1425 dividend. This represents a $0.57 dividend on an annualized basis and a yield of 1.1%. The ex-dividend date was Tuesday, June 16th. Hewlett Packard Enterprise’s dividend payout ratio (DPR) is presently 53.27%.

Insiders Place Their Bets

In other Hewlett Packard Enterprise news, SVP Kirt P. Karros sold 18,785 shares of the company’s stock in a transaction dated Monday, June 22nd. The shares were sold at an average price of $48.50, for a total transaction of $911,072.50. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.44% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Hewlett Packard Enterprise

Several institutional investors and hedge funds have recently bought and sold shares of HPE. Capital World Investors bought a new stake in Hewlett Packard Enterprise in the fourth quarter valued at approximately $901,751,000. Barrow Hanley Mewhinney & Strauss LLC bought a new position in shares of Hewlett Packard Enterprise in the fourth quarter worth approximately $433,537,000. Elliott Investment Management L.P. increased its stake in shares of Hewlett Packard Enterprise by 47.2% in the first quarter. Elliott Investment Management L.P. now owns 27,421,735 shares of the technology company’s stock worth $652,912,000 after buying an additional 8,790,757 shares during the period. Norges Bank bought a new stake in Hewlett Packard Enterprise during the 4th quarter valued at $185,969,000. Finally, Amundi raised its holdings in Hewlett Packard Enterprise by 63.1% during the 4th quarter. Amundi now owns 11,514,029 shares of the technology company’s stock valued at $276,567,000 after buying an additional 4,454,568 shares during the last quarter. 80.78% of the stock is currently 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.