Hewlett Packard Enterprises Stock Analysis (NYSE:HPE)

Add to My Stocks
$22.77 $0.03 (0.13%) HPE stock closing price Mar 24, 2017 (Closing)
Watch Robo Advisor Video of HPE Stock Analysis
Hewlett Packard Enterprises
Updated on : Mar 24, 2017
previous close
HPE 22.8 (0%)
NASDAQ 5828.7 (0%)
Closing Price On: Mar 23, 2017
stock rating
RATING: ★★★★★★★★★★ (0/5)
Industry :
Computer-Integrated Systems
Sector :
Computer and Technology
5 Quarter Revenue
Revenue Growth
2016-Q4
$billion
%
YOY GROWTH
Compared to the industry
Operating Profit
Operating Margin:
8.3%
Sector Average:
4.3%
5 Quarter Net Profit
Net Margins
2016-Q4
%
LTM Margin
Compared to the industry
Debt/Equity Ratio
Debt:
16.14B
Debt/Equity Ratio:
 0.51
Compared to the industry
Cash Flow
Operating cash flow:
$2.21B
Net Income:
$302M
Dividend Yield
HPE dividend yield:
1.1%
PROS      CONS
Operating Margins
Cash Flow
PE Valuation
PS Valuation
ROIC
ROE
Recent Growth
High Debt Burden
Rating: ★★★★★★★★★★ (0/5)
Relative Valuation
HPE PS :
0.8
Industry PS :
2.6
Sector:   Computer and Technology.   *PE adjusted for one time items.
Other Metrics
Return on Invested Capital:
6.5%
Return on Equity:
9.8%
Free Cash Flow Margin:
11.8%
Double Tap To Exit Full Screen
0:00
/

Hewlett Packard Enterprises Analysis Video

187 5 2

View Hewlett Packard Enterprises stock analysis video. This is our HPE analyst opinion covering the buy and sell arguments for HPE stock.

Hewlett Packard Enterprise Co Stock Rating (3/5)

Our Hewlett Packard Enterprises stock opinion is based on fundamentals of the company. This Hewlett Packard Enterprises stock analysis is based on latest Q1 earnings for 2017. The stock price analysis takes into account a company's valuation metrics.

Should you buy HPE stock?

  • Hewlett Packard Enterprises had a healthy average operating margin of 8.3% over the last 4 quarters.
  • The company has an operating cash flow which is 7.3 times the net income. We see this as a positive signal.
  • The price to earnings multiple of 11.6 is attractive when compared with the industry average PE ratio of 25.7.
  • The lower PS ratio 0.8 for HPE stock versus Computer-Integrated Systems industry average of 2.6 is a positive for the company.
  • Hewlett Packard Enterprises has an attractive ROIC (Return on Invested Capital) of 6.5%
  • Return On Equity (ROE) which is a measure of the company's profitability, looks great for Hewlett Packard Enterprises at 9.8%.
  • The company has a healthy free cash flow margin of 11.8%.

Should you sell HPE stock?

  • Hewlett Packard Enterprises revenue saw a decline of -7.2% YoY in 2016 Q4.
  • Hewlett Packard Enterprises has a debt/equity ratio of  0.51, which is worse than the average in the Computer and Technology sector.

Comments on this video and Hewlett Packard Enterprises stock