Hewlett Packard Enterprise’s (HPE) “Hold” Rating Reaffirmed at Maxim Group

Maxim Group reissued their hold rating on shares of Hewlett Packard Enterprise (NYSE:HPE) in a report released on Wednesday. Maxim Group currently has a $18.00 price target on the technology company’s stock.

“Top-line beats consensus on Storage, but Compute segment constant currency growth regresses to up only 2% y/y. Guidance slightly raised largely due to non-operational items; return to FY16 levels appear still far away. Maintain Hold rating, but slightly raising 12-month price target to $18, from $17.”,” Maxim Group’s analyst wrote.

Several other equities analysts also recently weighed in on the company. Deutsche Bank raised their target price on Hewlett Packard Enterprise from $16.00 to $19.00 and gave the company a buy rating in a research report on Monday, January 29th. Zacks Investment Research upgraded Hewlett Packard Enterprise from a hold rating to a strong-buy rating and set a $21.00 target price on the stock in a research report on Tuesday, February 27th. Pivotal Research restated a hold rating and issued a $20.00 target price (up previously from $13.00) on shares of Hewlett Packard Enterprise in a research report on Friday, February 23rd. JPMorgan Chase & Co. started coverage on Hewlett Packard Enterprise in a research report on Friday, March 2nd. They issued a neutral rating and a $21.00 target price on the stock. Finally, Goldman Sachs Group started coverage on Hewlett Packard Enterprise in a research report on Wednesday, February 7th. They issued a neutral rating and a $16.00 target price on the stock. Two analysts have rated the stock with a sell rating, sixteen have given a hold rating and twelve have assigned a buy rating to the company. Hewlett Packard Enterprise currently has an average rating of Hold and a consensus target price of $17.58.

Shares of HPE opened at $15.52 on Wednesday. The company has a market capitalization of $24.32 billion, a price-to-earnings ratio of 12.13, a price-to-earnings-growth ratio of 1.13 and a beta of 1.87. Hewlett Packard Enterprise has a 12 month low of $12.69 and a 12 month high of $19.48. The company has a current ratio of 1.04, a quick ratio of 0.93 and a debt-to-equity ratio of 0.42.

Hewlett Packard Enterprise (NYSE:HPE) last released its earnings results on Tuesday, May 22nd. The technology company reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.31 by $0.03. The business had revenue of $7.47 billion for the quarter, compared to the consensus estimate of $7.39 billion. Hewlett Packard Enterprise had a return on equity of 8.25% and a net margin of 9.36%. The business’s quarterly revenue was up 9.7% compared to the same quarter last year. During the same quarter last year, the business posted $0.35 earnings per share. research analysts anticipate that Hewlett Packard Enterprise will post 1.47 earnings per share for the current year.

Hewlett Packard Enterprise announced that its board has approved a share buyback plan on Thursday, February 22nd that allows the company to repurchase $5.50 billion in outstanding shares. This repurchase authorization allows the technology company to buy shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, July 4th. Shareholders of record on Wednesday, June 13th will be given a $0.1125 dividend. The ex-dividend date of this dividend is Tuesday, June 12th. This represents a $0.45 dividend on an annualized basis and a yield of 2.90%. This is an increase from Hewlett Packard Enterprise’s previous quarterly dividend of $0.08. Hewlett Packard Enterprise’s payout ratio is currently 31.25%.

In other Hewlett Packard Enterprise news, insider Keerti Melkote sold 87,113 shares of Hewlett Packard Enterprise stock in a transaction on Thursday, March 15th. The stock was sold at an average price of $18.87, for a total value of $1,643,822.31. Following the sale, the insider now owns 87,113 shares in the company, valued at $1,643,822.31. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Margaret C. Whitman sold 674,000 shares of Hewlett Packard Enterprise stock in a transaction on Thursday, May 24th. The shares were sold at an average price of $15.68, for a total value of $10,568,320.00. Following the completion of the sale, the director now owns 2,135,282 shares in the company, valued at approximately $33,481,221.76. The disclosure for this sale can be found here. Insiders sold 8,093,124 shares of company stock worth $142,861,491 in the last 90 days. Company insiders own 1.18% of the company’s stock.

A number of large investors have recently bought and sold shares of the business. Hanson McClain Inc. raised its position in Hewlett Packard Enterprise by 18.7% in the first quarter. Hanson McClain Inc. now owns 18,576 shares of the technology company’s stock valued at $326,000 after purchasing an additional 2,929 shares during the period. Intrust Bank NA grew its stake in shares of Hewlett Packard Enterprise by 25.2% in the fourth quarter. Intrust Bank NA now owns 17,964 shares of the technology company’s stock valued at $258,000 after buying an additional 3,616 shares in the last quarter. Daiwa Securities Group Inc. grew its stake in shares of Hewlett Packard Enterprise by 7.5% in the first quarter. Daiwa Securities Group Inc. now owns 52,519 shares of the technology company’s stock valued at $921,000 after buying an additional 3,648 shares in the last quarter. Mutual of America Capital Management LLC grew its stake in shares of Hewlett Packard Enterprise by 1.9% in the fourth quarter. Mutual of America Capital Management LLC now owns 198,411 shares of the technology company’s stock valued at $2,849,000 after buying an additional 3,711 shares in the last quarter. Finally, Greenleaf Trust grew its stake in shares of Hewlett Packard Enterprise by 20.4% in the fourth quarter. Greenleaf Trust now owns 22,635 shares of the technology company’s stock valued at $325,000 after buying an additional 3,832 shares in the last quarter. Institutional investors own 78.74% of the company’s stock.

Hewlett Packard Enterprise Company Profile

Hewlett Packard Enterprise Company provides technology solutions to business and public sector enterprises. It operates through Enterprise Group, Financial Services, and Corporate Investments segments. The Enterprise Group segment offers industry standard servers and mission-critical servers to address the array of its customers' computing needs; converged storage solutions, including 3PAR StoreServ, StoreOnce, and StoreVirtual products, as well as traditional storage solutions, such as tape, storage networking, and legacy external disk products for enterprise and small- and medium-size business; software-defined switches, routers, wireless local area network equipment, network virtualization equipment, security software, location-based services, and network management products; and data center care, proactive care, and technology consulting services, as well as Aruba Services, and communications and media solutions.

Analyst Recommendations for Hewlett Packard Enterprise (NYSE:HPE)

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