HEWLETT PACKARD ENTERPRISE (1HPE.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1HPE - US42824C1099 - Common Stock
18.764 EUR
-1.82 (-8.85%)
Taking everything into account, 1HPE scores 4 out of 10 in our fundamental rating. 1HPE was compared to 33 industry peers in the Technology Hardware, Storage & Peripherals industry. While 1HPE is still in line with the averages on profitability rating, there are concerns on its financial health. 1HPE is not valued too expensively and it also shows a decent growth rate. 1HPE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year 1HPE was profitable.
1HPE had a positive operating cash flow in the past year.
Of the past 5 years 1HPE 4 years were profitable.
Each year in the past 5 years 1HPE had a positive operating cash flow.
1.2 Ratios
1HPE has a Return On Assets (1.47%) which is comparable to the rest of the industry.
1HPE has a better Return On Equity (4.66%) than 60.61% of its industry peers.
The Return On Invested Capital of 1HPE (3.50%) is comparable to the rest of the industry.
1HPE had an Average Return On Invested Capital over the past 3 years of 5.52%. This is significantly below the industry average of 13.83%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 4.66% | ||
| ROIC | 3.5% |
ROA(3y)2.88%
ROA(5y)2.8%
ROE(3y)8.07%
ROE(5y)7.88%
ROIC(3y)5.52%
ROIC(5y)5.09%
1.3 Margins
1HPE has a Profit Margin (3.43%) which is in line with its industry peers.
1HPE's Profit Margin has improved in the last couple of years.
1HPE's Operating Margin of 6.15% is fine compared to the rest of the industry. 1HPE outperforms 69.70% of its industry peers.
1HPE's Operating Margin has been stable in the last couple of years.
1HPE has a Gross Margin (29.45%) which is in line with its industry peers.
1HPE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.15% | ||
| PM (TTM) | 3.43% | ||
| GM | 29.45% |
OM growth 3Y2.85%
OM growth 5Y-0.53%
PM growth 3Y-11.75%
PM growth 5Y18.68%
GM growth 3Y-0.96%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), 1HPE is destroying value.
1HPE has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1HPE has more shares outstanding
1HPE has a worse debt/assets ratio than last year.
2.2 Solvency
1HPE has an Altman-Z score of 0.77. This is a bad value and indicates that 1HPE is not financially healthy and even has some risk of bankruptcy.
1HPE has a Altman-Z score of 0.77. This is in the lower half of the industry: 1HPE underperforms 66.67% of its industry peers.
1HPE has a debt to FCF ratio of 105.12. This is a negative value and a sign of low solvency as 1HPE would need 105.12 years to pay back of all of its debts.
1HPE's Debt to FCF ratio of 105.12 is on the low side compared to the rest of the industry. 1HPE is outperformed by 66.67% of its industry peers.
1HPE has a Debt/Equity ratio of 0.76. This is a neutral value indicating 1HPE is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.76, 1HPE is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 105.12 | ||
| Altman-Z | 0.77 |
ROIC/WACC0.49
WACC7.14%
2.3 Liquidity
1HPE has a Current Ratio of 0.95. This is a bad value and indicates that 1HPE is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of 1HPE (0.95) is worse than 69.70% of its industry peers.
A Quick Ratio of 0.69 indicates that 1HPE may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.69, 1HPE is doing worse than 78.79% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
The earnings per share for 1HPE have decreased by -1.56% in the last year.
1HPE shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 2.15% yearly.
The Revenue has grown by 13.97% in the past year. This is quite good.
1HPE shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 0.67% yearly.
EPS 1Y (TTM)-1.56%
EPS 3Y0.17%
EPS 5Y2.15%
EPS Q2Q%-12%
Revenue 1Y (TTM)13.97%
Revenue growth 3Y2.74%
Revenue growth 5Y0.67%
Sales Q2Q%18.5%
3.2 Future
The Earnings Per Share is expected to grow by 10.57% on average over the next years. This is quite good.
1HPE is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.76% yearly.
EPS Next Y-3.14%
EPS Next 2Y10.15%
EPS Next 3Y10.54%
EPS Next 5Y10.57%
Revenue Next Year15.38%
Revenue Next 2Y16.2%
Revenue Next 3Y11.6%
Revenue Next 5Y9.76%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1HPE is valuated reasonably with a Price/Earnings ratio of 11.58.
Based on the Price/Earnings ratio, 1HPE is valued cheaply inside the industry as 84.85% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 26.34. 1HPE is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 9.10, the valuation of 1HPE can be described as very reasonable.
1HPE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1HPE is cheaper than 75.76% of the companies in the same industry.
1HPE's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.56.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.1 |
4.2 Price Multiples
75.76% of the companies in the same industry are more expensive than 1HPE, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, 1HPE is valued a bit more expensive than the industry average as 63.64% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 128.25 | ||
| EV/EBITDA | 10.18 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)5.38
EPS Next 2Y10.15%
EPS Next 3Y10.54%
5. Dividend
5.1 Amount
1HPE has a Yearly Dividend Yield of 5.61%, which is a nice return.
1HPE's Dividend Yield is rather good when compared to the industry average which is at 2.70. 1HPE pays more dividend than 100.00% of the companies in the same industry.
1HPE's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
5.2 History
The dividend of 1HPE has a limited annual growth rate of 3.20%.
Dividend Growth(5Y)3.2%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
67.34% of the earnings are spent on dividend by 1HPE. This is not a sustainable payout ratio.
The dividend of 1HPE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP67.34%
EPS Next 2Y10.15%
EPS Next 3Y10.54%
BIT:1HPE (12/1/2025, 7:00:00 PM)
18.764
-1.82 (-8.85%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners88.19%
Inst Owner ChangeN/A
Ins Owners0.36%
Ins Owner ChangeN/A
Market Cap24.76B
Revenue(TTM)33.08B
Net Income(TTM)1.14B
Analysts76
Price Target22.12 (17.89%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.61% |
Yearly Dividend0.45
Dividend Growth(5Y)3.2%
DP67.34%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.57%
Min EPS beat(2)1.17%
Max EPS beat(2)15.97%
EPS beat(4)3
Avg EPS beat(4)4.54%
Min EPS beat(4)-1.9%
Max EPS beat(4)15.97%
EPS beat(8)7
Avg EPS beat(8)4.78%
EPS beat(12)11
Avg EPS beat(12)5.45%
EPS beat(16)13
Avg EPS beat(16)5.08%
Revenue beat(2)2
Avg Revenue beat(2)3.74%
Min Revenue beat(2)1.42%
Max Revenue beat(2)6.06%
Revenue beat(4)3
Avg Revenue beat(4)2.11%
Min Revenue beat(4)-0.51%
Max Revenue beat(4)6.06%
Revenue beat(8)4
Avg Revenue beat(8)0.67%
Revenue beat(12)6
Avg Revenue beat(12)0.67%
Revenue beat(16)6
Avg Revenue beat(16)0.1%
PT rev (1m)18.2%
PT rev (3m)18.2%
EPS NQ rev (1m)0.87%
EPS NQ rev (3m)0.87%
EPS NY rev (1m)6.03%
EPS NY rev (3m)6.03%
Revenue NQ rev (1m)15%
Revenue NQ rev (3m)15%
Revenue NY rev (1m)6.51%
Revenue NY rev (3m)6.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.1 | ||
| P/S | 0.87 | ||
| P/FCF | 128.25 | ||
| P/OCF | 11.62 | ||
| P/B | 1.18 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.18 |
EPS(TTM)1.62
EY8.63%
EPS(NY)2.06
Fwd EY10.99%
FCF(TTM)0.15
FCFY0.78%
OCF(TTM)1.62
OCFY8.61%
SpS21.51
BVpS15.87
TBVpS-3.9
PEG (NY)N/A
PEG (5Y)5.38
Graham Number24.05
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 4.66% | ||
| ROCE | 4.07% | ||
| ROIC | 3.5% | ||
| ROICexc | 3.84% | ||
| ROICexgc | 10.81% | ||
| OM | 6.15% | ||
| PM (TTM) | 3.43% | ||
| GM | 29.45% | ||
| FCFM | 0.68% |
ROA(3y)2.88%
ROA(5y)2.8%
ROE(3y)8.07%
ROE(5y)7.88%
ROIC(3y)5.52%
ROIC(5y)5.09%
ROICexc(3y)6.82%
ROICexc(5y)6.08%
ROICexgc(3y)16.7%
ROICexgc(5y)14.78%
ROCE(3y)6.33%
ROCE(5y)5.84%
ROICexgc growth 3Y10.99%
ROICexgc growth 5Y-3.59%
ROICexc growth 3Y8.67%
ROICexc growth 5Y-0.74%
OM growth 3Y2.85%
OM growth 5Y-0.53%
PM growth 3Y-11.75%
PM growth 5Y18.68%
GM growth 3Y-0.96%
GM growth 5Y0.13%
F-Score4
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 105.12 | ||
| Debt/EBITDA | 4.1 | ||
| Cap/Depr | 90.36% | ||
| Cap/Sales | 6.83% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 54.77% | ||
| Profit Quality | 19.81% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 0.77 |
F-Score4
WACC7.14%
ROIC/WACC0.49
Cap/Depr(3y)108.77%
Cap/Depr(5y)102.69%
Cap/Sales(3y)9.51%
Cap/Sales(5y)9.27%
Profit Quality(3y)108.59%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-1.56%
EPS 3Y0.17%
EPS 5Y2.15%
EPS Q2Q%-12%
EPS Next Y-3.14%
EPS Next 2Y10.15%
EPS Next 3Y10.54%
EPS Next 5Y10.57%
Revenue 1Y (TTM)13.97%
Revenue growth 3Y2.74%
Revenue growth 5Y0.67%
Sales Q2Q%18.5%
Revenue Next Year15.38%
Revenue Next 2Y16.2%
Revenue Next 3Y11.6%
Revenue Next 5Y9.76%
EBIT growth 1Y-10.43%
EBIT growth 3Y5.66%
EBIT growth 5Y0.14%
EBIT Next Year79.02%
EBIT Next 3Y33.97%
EBIT Next 5Y23.39%
FCF growth 1Y-84.67%
FCF growth 3Y-16.32%
FCF growth 5Y11.59%
OCF growth 1Y-46.25%
OCF growth 3Y-9.57%
OCF growth 5Y1.66%
HEWLETT PACKARD ENTERPRISE / 1HPE.MI FAQ
What is the fundamental rating for 1HPE stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1HPE.MI.
Can you provide the valuation status for HEWLETT PACKARD ENTERPRISE?
ChartMill assigns a valuation rating of 5 / 10 to HEWLETT PACKARD ENTERPRISE (1HPE.MI). This can be considered as Fairly Valued.
Can you provide the profitability details for HEWLETT PACKARD ENTERPRISE?
HEWLETT PACKARD ENTERPRISE (1HPE.MI) has a profitability rating of 5 / 10.
Can you provide the PE and PB ratios for 1HPE stock?
The Price/Earnings (PE) ratio for HEWLETT PACKARD ENTERPRISE (1HPE.MI) is 11.58 and the Price/Book (PB) ratio is 1.18.
Can you provide the dividend sustainability for 1HPE stock?
The dividend rating of HEWLETT PACKARD ENTERPRISE (1HPE.MI) is 7 / 10 and the dividend payout ratio is 67.34%.