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

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

Wall Street Analyst Weigh In

Several analysts have weighed in on HPE shares. Wells Fargo & Company upped their target price on Hewlett Packard Enterprise from $26.00 to $67.00 and gave the company an “equal weight” rating in a report on Tuesday, June 2nd. Argus lifted their price target 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. Morgan Stanley increased their price objective on shares of Hewlett Packard Enterprise from $33.00 to $71.00 and gave the company an “equal weight” rating in a research note on Tuesday, June 2nd. Bank of America raised their target price on shares of Hewlett Packard Enterprise from $38.00 to $80.00 and gave the company a “buy” rating in a report on Tuesday, June 2nd. Finally, JPMorgan Chase & Co. raised their target price on shares of Hewlett Packard Enterprise from $37.00 to $68.00 and gave the company an “overweight” rating in a report on Tuesday, June 2nd. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $64.65.

Hewlett Packard Enterprise Stock Down 6.6%

The company has a market cap of $57.77 billion, a PE ratio of 40.77, a P/E/G ratio of 0.47 and a beta of 1.42. The firm has a 50-day simple moving average of $38.62 and a two-hundred day simple moving average of $28.38. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.09 and a quick ratio of 0.75.

Hewlett Packard Enterprise (NYSE:HPE) last issued its quarterly earnings data on Monday, June 1st. The technology company reported $0.79 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.25. The business had revenue of $10.68 billion for the quarter, compared to the consensus estimate of $9.78 billion. Hewlett Packard Enterprise had a return on equity of 11.91% and a net margin of 3.94%.The business’s revenue was up 40.0% on a year-over-year basis. During the same period in the prior year, the business 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 anticipate that Hewlett Packard Enterprise Company will post 2.88 earnings per share for the current fiscal year.

Hewlett Packard Enterprise Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 16th will be issued a $0.1425 dividend. This represents a $0.57 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date is Tuesday, June 16th. Hewlett Packard Enterprise’s dividend payout ratio is 53.27%.

Insider Buying and Selling

In other Hewlett Packard Enterprise news, CFO Marie Myers sold 93,583 shares of the firm’s stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $30.01, for a total transaction of $2,808,425.83. Following the sale, the chief financial officer directly owned 204,754 shares of the company’s stock, valued at $6,144,667.54. This trade represents a 31.37% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Kirt P. Karros sold 18,785 shares of Hewlett Packard Enterprise stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $48.50, for a total transaction of $911,072.50. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 310,102 shares of company stock worth $9,013,662 in the last 90 days. 0.44% of the stock is currently owned by corporate insiders.

Institutional Trading of Hewlett Packard Enterprise

Several hedge funds and other institutional investors have recently bought and sold shares of HPE. Vanguard Group Inc. lifted its stake in shares of Hewlett Packard Enterprise by 1.1% during the 4th quarter. Vanguard Group Inc. now owns 173,058,714 shares of the technology company’s stock worth $4,156,870,000 after purchasing an additional 1,917,719 shares during the period. Capital World Investors purchased a new stake in shares of Hewlett Packard Enterprise in the fourth quarter valued at $901,751,000. Geode Capital Management LLC increased its stake in Hewlett Packard Enterprise by 1.3% in the fourth quarter. Geode Capital Management LLC now owns 34,869,143 shares of the technology company’s stock valued at $835,626,000 after purchasing an additional 431,728 shares during the last quarter. Elliott Investment Management L.P. increased its stake in Hewlett Packard Enterprise by 47.2% in the first quarter. Elliott Investment Management L.P. now owns 27,421,735 shares of the technology company’s stock valued at $652,912,000 after purchasing an additional 8,790,757 shares during the last quarter. Finally, Barrow Hanley Mewhinney & Strauss LLC purchased a new position in Hewlett Packard Enterprise during the fourth quarter worth about $433,537,000. 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.