Hewlett Packard Enterprise (NYSE:HPE) Stock Price Down 6.8% – What’s Next?

Hewlett Packard Enterprise Company (NYSE:HPE)’s stock price was down 6.8% during mid-day trading on Friday . The company traded as low as $43.65 and last traded at $43.5450. Approximately 7,044,836 shares were traded during mid-day trading, a decline of 68% from the average session volume of 21,694,250 shares. The stock had previously closed at $46.72.

Analysts Set New Price Targets

A number of research firms have recently commented on HPE. Truist Financial reaffirmed a “buy” rating and set a $69.00 price target (up from $31.00) on shares of Hewlett Packard Enterprise in a research report on Tuesday, June 2nd. Argus increased their target price on Hewlett Packard Enterprise from $30.00 to $70.00 and gave the stock a “buy” rating in a research note on Wednesday, June 3rd. Piper Sandler reaffirmed a “neutral” rating and issued a $63.00 price target (up from $23.00) on shares of Hewlett Packard Enterprise in a research note on Tuesday, June 2nd. Barclays increased their price objective 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. Finally, Loop Capital raised shares of Hewlett Packard Enterprise from a “hold” rating to a “buy” rating and boosted their price objective for the company from $23.00 to $75.00 in a research report on Tuesday, June 2nd. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have given a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $64.65.

Hewlett Packard Enterprise Stock Down 6.4%

The stock’s fifty day moving average price is $38.24 and its 200-day moving average price is $28.27. The company has a quick ratio of 0.75, a current ratio of 1.09 and a debt-to-equity ratio of 0.72. The company has a market capitalization of $57.88 billion, a price-to-earnings ratio of 40.70, a P/E/G ratio of 0.53 and a beta of 1.42.

Hewlett Packard Enterprise (NYSE:HPE) last announced its earnings results on Monday, June 1st. The technology company reported $0.79 EPS for the quarter, topping the consensus estimate 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 firm’s revenue was up 40.0% on a year-over-year basis. During the same quarter in the prior year, the company posted ($0.82) earnings per share. 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. On average, sell-side analysts predict that Hewlett Packard Enterprise Company will post 2.88 earnings per share for the current fiscal year.

Hewlett Packard Enterprise Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, July 15th. Stockholders of record on Tuesday, June 16th will be issued a $0.1425 dividend. The ex-dividend date is Tuesday, June 16th. This represents a $0.57 annualized dividend and a dividend yield of 1.3%. Hewlett Packard Enterprise’s dividend payout ratio (DPR) is presently 53.27%.

Insiders Place Their Bets

In related news, EVP Fidelma Russo sold 17,001 shares of the company’s stock in a transaction dated Tuesday, April 21st. The stock was sold at an average price of $27.97, for a total transaction of $475,517.97. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Marie Myers sold 93,583 shares of the firm’s stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $30.01, for a total value of $2,808,425.83. Following the completion of the transaction, the chief financial officer owned 204,754 shares of the company’s stock, valued at approximately $6,144,667.54. This represents a 31.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 310,102 shares of company stock valued at $9,013,662 in the last quarter. 0.44% of the stock is currently owned by corporate insiders.

Institutional Trading of Hewlett Packard Enterprise

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. SJS Investment Consulting Inc. lifted its stake in Hewlett Packard Enterprise by 159.5% in the first quarter. SJS Investment Consulting Inc. now owns 1,165 shares of the technology company’s stock valued at $28,000 after acquiring an additional 716 shares during the last quarter. Headlands Technologies LLC acquired a new position in shares of Hewlett Packard Enterprise during the 2nd quarter worth about $26,000. Union Savings Bank bought a new stake in shares of Hewlett Packard Enterprise in the 4th quarter valued at about $30,000. Reflection Asset Management acquired a new stake in Hewlett Packard Enterprise in the 4th quarter valued at about $31,000. Finally, Thompson Investment Management Inc. acquired a new stake in Hewlett Packard Enterprise in the 4th quarter valued at about $34,000. 80.78% of the stock is 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.