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HPE:NYSEHewlett Packard Enterprise Company Analysis

Data as of 2026-05-19 - not real-time

$33.00

Latest Price

7/10Risk

Risk Level: Medium

Executive Summary

Technical momentum is firmly in the bullish camp: the short‑term moving average sits above the mid‑term average, the MACD line has broken above its signal, and the RSI is perched in the upper zone, indicating strong buying pressure. Support is holding comfortably above recent lows while the next resistance ceiling looms near the recent high, and price action remains well above the 200‑day trend line. However, a beta well above one and a 30‑day volatility that is markedly elevated signal that price swings could be pronounced.
Fundamental backdrop shows robust top‑line growth and a forward price‑to‑earnings multiple that is a fraction of the industry average, suggesting a value edge. The dividend yield is modest but the payout ratio is comfortably below the typical threshold, supporting sustainability. A discounted cash‑flow model points to a fair value above the current market price, and the company’s strategic push into AI‑driven networking and edge workloads, combined with a recent divestiture that sharpens its geographic focus, provide a compelling growth narrative. Analyst sentiment leans toward a buy, reinforcing the upside potential despite short‑term valuation pressures.

Market Outlook

Short Term

< 1 year
Neutral
Model confidence: 7/10

Key Factors

  • Bullish technical indicators but price near short‑term resistance
  • Elevated volatility and beta increasing price swing risk
  • Sustainable dividend providing downside cushion

Medium Term

1–3 years
Positive
Model confidence: 8/10

Key Factors

  • Revenue growth outpacing peers and attractive forward PE
  • Undervalued relative to discounted cash‑flow estimate
  • Strategic AI and edge portfolio expansion driving future earnings

Long Term

> 3 years
Positive
Model confidence: 9/10

Key Factors

  • Long‑term shift toward hybrid cloud and AI‑native infrastructure
  • Improved geographic focus after China divestiture
  • Consistent dividend and strong cash flow supporting financial stability

Key Metrics & Analysis

Financial Health

Revenue Growth18.40%
Profit Margin-0.33%
P/E Ratio12.1
ROE-0.47%
ROA1.61%
Debt/Equity87.22
P/B Ratio1.8
Op. Cash Flow$4.5B
Free Cash Flow$2.6B
Industry P/E38.2

Technical Analysis

TrendBullish
RSI69.0
Support$27.34
Resistance$34.69
MA 20$29.96
MA 50$26.19
MA 200$23.71
MACDBullish
VolumeIncreasing
Fear & Greed Index89.21

Valuation

Fair Value$40.44
Target Price$28.76
Upside/Downside-12.85%
GradeUndervalued
TypeBlend
Dividend Yield1.73%

Risk Assessment

Beta1.73
Volatility42.54%
Sector RiskMedium
Reg. RiskMedium
Geo RiskMedium
Currency RiskMedium
Liquidity RiskMedium

This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.