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

Hewlett Packard Enterprise (NYSE:HPE) was downgraded by equities research analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report issued on Monday,Zacks.com reports.

A number of other equities research analysts also recently weighed in on the company. Loop Capital raised Hewlett Packard Enterprise from a “hold” rating to a “buy” rating and raised their target price for the company from $23.00 to $75.00 in a report on Tuesday, June 2nd. Piper Sandler reiterated a “neutral” rating and set a $63.00 price objective (up from $23.00) on shares of Hewlett Packard Enterprise in a research report on Tuesday, June 2nd. Raymond James Financial raised their target price on shares of Hewlett Packard Enterprise from $29.00 to $74.00 and gave the company an “outperform” rating in a research report on Tuesday, June 2nd. Morgan Stanley boosted their price objective on Hewlett Packard Enterprise from $33.00 to $71.00 and gave the stock an “equal weight” rating in a research report on Tuesday, June 2nd. Finally, Wall Street Zen upgraded Hewlett Packard Enterprise from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, June 10th. Eleven analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat.com, Hewlett Packard Enterprise presently has an average rating of “Moderate Buy” and an average price target of $67.31.

Hewlett Packard Enterprise Stock Performance

HPE opened at $52.40 on Monday. 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 business has a fifty day simple moving average of $46.91 and a 200 day simple moving average of $32.70. 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 PE ratio of 48.97, a price-to-earnings-growth ratio of 0.54 and a beta of 1.42.

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 for the quarter, compared to analyst estimates of $9.78 billion. Hewlett Packard Enterprise had a net margin of 3.94% and a return on equity of 11.91%. Hewlett Packard Enterprise’s revenue for the quarter was up 40.0% compared to the same quarter last year. During the same period last year, the firm earned ($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. Research analysts expect that Hewlett Packard Enterprise will post 2.88 EPS for the current year.

Insiders Place Their Bets

In other Hewlett Packard Enterprise news, SVP Kirt P. Karros sold 18,785 shares of the business’s stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $48.50, for a total value of $911,072.50. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 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

A number of large investors have recently modified their holdings of the company. Empowered Funds LLC lifted its position in Hewlett Packard Enterprise by 317.3% in the 1st quarter. Empowered Funds LLC now owns 149,810 shares of the technology company’s stock worth $2,312,000 after buying an additional 113,906 shares during the last quarter. Geneos Wealth Management Inc. lifted its holdings in shares of Hewlett Packard Enterprise by 44.7% in the 1st quarter. Geneos Wealth Management Inc. now owns 4,456 shares of the technology company’s stock worth $69,000 after acquiring an additional 1,377 shares during the last quarter. Brown Advisory Inc. lifted its holdings in shares of Hewlett Packard Enterprise by 4.4% in the 2nd quarter. Brown Advisory Inc. now owns 23,593 shares of the technology company’s stock worth $482,000 after acquiring an additional 996 shares during the last quarter. Jump Financial LLC raised its position in Hewlett Packard Enterprise by 25.8% in the 2nd quarter. Jump Financial LLC now owns 15,662 shares of the technology company’s stock worth $320,000 after purchasing an additional 3,215 shares during the period. Finally, WINTON GROUP Ltd bought a new stake in Hewlett Packard Enterprise in the second quarter worth $207,000. 80.78% of the stock is owned by hedge funds and other 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.