Hewlett Packard Enterprise (NYSE:HPE) Releases Quarterly Earnings Results, Beats Estimates By $0.25 EPS

Hewlett Packard Enterprise (NYSE:HPE) posted its earnings results on Monday. The technology company reported $0.79 EPS for the quarter, topping the consensus estimate of $0.54 by $0.25, FiscalAI reports. The business had revenue of $10.68 billion during the quarter, compared to the consensus estimate of $9.78 billion. Hewlett Packard Enterprise had a positive return on equity of 9.93% and a negative net margin of 0.41%.

Hewlett Packard Enterprise Trading Up 10.1%

Shares of NYSE HPE traded up $4.33 during midday trading on Monday, hitting $47.37. The stock had a trading volume of 81,649,020 shares, compared to its average volume of 18,590,492. The company’s 50-day simple moving average is $28.73 and its 200 day simple moving average is $24.63. The firm has a market cap of $62.85 billion, a P/E ratio of -249.32, a price-to-earnings-growth ratio of 1.10 and a beta of 1.42. Hewlett Packard Enterprise has a fifty-two week low of $17.02 and a fifty-two week high of $47.97. The company has a debt-to-equity ratio of 0.71, a current ratio of 1.03 and a quick ratio of 0.75.

Hewlett Packard Enterprise Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, April 23rd. Stockholders of record on Tuesday, March 24th were paid a $0.1425 dividend. This represents a $0.57 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend was Tuesday, March 24th. Hewlett Packard Enterprise’s dividend payout ratio (DPR) is -300.00%.

Trending Headlines about Hewlett Packard Enterprise

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

• Positive Sentiment: HPE reported fiscal second-quarter results that beat Wall Street expectations, with record revenue, stronger-than-expected profitability, and higher free cash flow, suggesting solid execution and improving fundamentals. HPE Reports Fiscal 2026 Second Quarter Results
• Positive Sentiment: The company said surging demand for AI compute helped drive results and led it to pull forward its long-term financial targets by two years, a sign that management sees momentum accelerating faster than expected. HPE Pulls Forward Long-Term Targets as Surging AI Compute Demand Boosts Revenue
• Positive Sentiment: Reuters reported that HPE now expects to hit its 2028 financial targets this year after a record quarter, underscoring how AI data-center expansion is boosting demand for its servers and networking products. HPE expects to achieve 2028 financial targets this year after record quarter on AI boom
• Positive Sentiment: HPE launched a new server powered by NVIDIA Vera CPU, designed for agentic AI and high-performance data workloads, reinforcing its position in the AI infrastructure market. HPE Introduces CPU Server with NVIDIA Vera CPU, Purpose-built for Agentic AI
• Neutral Sentiment: HPE appointed Elliott partner Chris Hsu to its board of directors, which could support strategic oversight but does not by itself change the company’s operating outlook. HPE Names Chris Hsu to Board of Directors

Insider Buying and Selling

In other news, EVP Neil B. Macdonald sold 24,251 shares of Hewlett Packard Enterprise stock in a transaction on Monday, April 20th. The stock was 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 approximately $870,883.43. This trade represents a 42.93% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, EVP Fidelma Russo sold 17,001 shares of Hewlett Packard Enterprise stock in a transaction on Tuesday, April 21st. The shares were sold at an average price of $27.97, for a total value of $475,517.97. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders sold 702,402 shares of company stock worth $18,440,171. 0.44% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Hewlett Packard Enterprise

Institutional investors have recently made changes to their positions in the stock. Itau Unibanco Holding S.A. grew its stake in shares of Hewlett Packard Enterprise by 42.9% during the fourth quarter. Itau Unibanco Holding S.A. now owns 5,587 shares of the technology company’s stock worth $134,000 after purchasing an additional 1,677 shares during the period. Zions Bancorporation National Association UT grew its stake in shares of Hewlett Packard Enterprise by 145.1% during the fourth quarter. Zions Bancorporation National Association UT now owns 7,448 shares of the technology company’s stock worth $179,000 after purchasing an additional 4,409 shares during the period. Palisade Asset Management LLC acquired a new stake in shares of Hewlett Packard Enterprise during the third quarter worth $123,000. Prelude Capital Management LLC acquired a new stake in shares of Hewlett Packard Enterprise during the third quarter worth $203,000. Finally, Harvest Fund Management Co. Ltd acquired a new stake in shares of Hewlett Packard Enterprise during the third quarter worth $151,000. 80.78% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

HPE has been the subject of several analyst reports. Citigroup raised their target price on Hewlett Packard Enterprise from $27.00 to $39.00 and gave the stock a “buy” rating in a research report on Thursday, May 14th. Truist Financial initiated coverage on Hewlett Packard Enterprise in a research report on Tuesday, March 31st. They set a “buy” rating and a $31.00 target price for the company. Weiss Ratings restated a “hold (c-)” rating on shares of Hewlett Packard Enterprise in a research report on Wednesday, March 25th. Bank of America raised their target price on Hewlett Packard Enterprise from $29.00 to $32.00 and gave the stock a “buy” rating in a research report on Tuesday, March 10th. Finally, Morgan Stanley lifted their price objective on Hewlett Packard Enterprise from $25.00 to $33.00 and gave the company an “equal weight” rating in a research report on Thursday, May 21st. One equities research analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating and eleven have given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $27.88.

Hewlett Packard Enterprise Company Profile

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.