HEWLETT PACKARD ENTERPRISE (1HPE.MI) Stock Fundamental Analysis
Europe - BIT:1HPE - US42824C1099 - Common Stock
20.585 EUR
+9.42 (+84.29%)
1HPE gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 29 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
1HPE had positive earnings in the past year.
In the past year 1HPE had a positive cash flow from operations.
1HPE had positive earnings in 4 of the past 5 years.
In the past 5 years 1HPE always reported a positive cash flow from operatings.
1.2 Ratios
1HPE's Return On Assets of 1.47% is in line compared to the rest of the industry. 1HPE outperforms 57.14% of its industry peers.
1HPE's Return On Equity of 4.66% is fine compared to the rest of the industry. 1HPE outperforms 67.86% of its industry peers.
1HPE has a Return On Invested Capital (3.50%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1HPE is significantly below the industry average of 19.94%.
| 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
Looking at the Profit Margin, with a value of 3.43%, 1HPE is in line with its industry, outperforming 57.14% of the companies in the same industry.
1HPE's Profit Margin has improved in the last couple of years.
1HPE has a better Operating Margin (6.15%) than 71.43% of its industry peers.
In the last couple of years the Operating Margin of 1HPE has remained more or less at the same level.
1HPE has a Gross Margin of 29.45%. This is comparable to the rest of the industry: 1HPE outperforms 57.14% of 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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so 1HPE is destroying value.
1HPE has more shares outstanding than it did 1 year ago.
The number of shares outstanding for 1HPE has been increased compared to 5 years ago.
Compared to 1 year ago, 1HPE has a worse debt to assets ratio.
2.2 Solvency
1HPE has an Altman-Z score of 0.80. This is a bad value and indicates that 1HPE is not financially healthy and even has some risk of bankruptcy.
The Altman-Z score of 1HPE (0.80) is worse than 60.71% of its industry peers.
The Debt to FCF ratio of 1HPE is 105.12, which is on the high side as it means it would take 1HPE, 105.12 years of fcf income to pay off all of its debts.
1HPE has a Debt to FCF ratio (105.12) which is comparable to the rest of the industry.
1HPE has a Debt/Equity ratio of 0.76. This is a neutral value indicating 1HPE is somewhat dependend on debt financing.
1HPE has a worse Debt to Equity ratio (0.76) than 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.76 | ||
| Debt/FCF | 105.12 | ||
| Altman-Z | 0.8 |
ROIC/WACC0.48
WACC7.23%
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.
With a Current ratio value of 0.95, 1HPE is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
1HPE has a Quick 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.
Looking at the Quick ratio, with a value of 0.69, 1HPE is doing worse than 75.00% 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.
The Earnings Per Share has been growing slightly by 2.15% on average over the past years.
The Revenue has grown by 13.97% in the past year. This is quite good.
Measured over the past years, 1HPE shows a small growth in Revenue. The Revenue has been growing by 0.67% on average per year.
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.
Based on estimates for the next years, 1HPE will show a quite strong growth in Revenue. The Revenue will grow by 9.76% on average per year.
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.79 indicates a correct valuation of 1HPE.
85.71% of the companies in the same industry are more expensive than 1HPE, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 25.67. 1HPE is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 10.05 indicates a reasonable valuation of 1HPE.
1HPE's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. 1HPE is cheaper than 78.57% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 31.86. 1HPE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.79 | ||
| Fwd PE | 10.05 |
4.2 Price Multiples
67.86% of the companies in the same industry are more expensive than 1HPE, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1HPE.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 141.65 | ||
| EV/EBITDA | 10.85 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)5.94
EPS Next 2Y10.15%
EPS Next 3Y10.54%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.61%, 1HPE is a good candidate for dividend investing.
1HPE's Dividend Yield is rather good when compared to the industry average which is at 2.04. 1HPE pays more dividend than 96.43% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, 1HPE pays a better dividend.
| 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
1HPE pays out 67.34% of its income as dividend. This is not a sustainable payout ratio.
1HPE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP67.34%
EPS Next 2Y10.15%
EPS Next 3Y10.54%
BIT:1HPE (9/25/2025, 7:00:00 PM)
20.585
+9.42 (+84.29%)
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 Cap27.16B
Revenue(TTM)33.08B
Net Income(TTM)1.14B
Analysts76
Price Target22.12 (7.46%)
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 | 12.79 | ||
| Fwd PE | 10.05 | ||
| P/S | 0.96 | ||
| P/FCF | 141.65 | ||
| P/OCF | 12.83 | ||
| P/B | 1.31 | ||
| P/tB | N/A | ||
| EV/EBITDA | 10.85 |
EPS(TTM)1.61
EY7.82%
EPS(NY)2.05
Fwd EY9.95%
FCF(TTM)0.15
FCFY0.71%
OCF(TTM)1.6
OCFY7.79%
SpS21.36
BVpS15.76
TBVpS-3.88
PEG (NY)N/A
PEG (5Y)5.94
Graham NumberN/A
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 | 0.8 |
F-Score4
WACC7.23%
ROIC/WACC0.48
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 5 / 10 to 1HPE.MI.
Can you provide the valuation status for HEWLETT PACKARD ENTERPRISE?
ChartMill assigns a valuation rating of 6 / 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 6 / 10.
Can you provide the PE and PB ratios for 1HPE stock?
The Price/Earnings (PE) ratio for HEWLETT PACKARD ENTERPRISE (1HPE.MI) is 12.79 and the Price/Book (PB) ratio is 1.31.
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%.