Morgan Stanley Lowers Hewlett Packard Enterprise (NYSE:HPE) Price Target to $67.00

Hewlett Packard Enterprise (NYSE:HPE) had its price target cut by equities research analysts at Morgan Stanley from $69.00 to $67.00 in a research note issued on Thursday, Benzinga reports. The brokerage presently has an “overweight” rating on the technology company’s stock. Morgan Stanley’s price objective points to a potential upside of 39.37% from the company’s current price.

Several other research firms have also recently weighed in on HPE. Bank of America boosted their price objective on Hewlett Packard Enterprise from $80.00 to $82.00 and gave the stock a “buy” rating in a research report on Monday. Truist Financial reiterated a “buy” rating and set a $69.00 target price (up from $31.00) on shares of Hewlett Packard Enterprise in a research note on Tuesday, June 2nd. Barclays boosted their price target on shares of Hewlett Packard Enterprise from $67.00 to $79.00 and gave the stock an “overweight” rating in a report on Thursday. JPMorgan Chase & Co. increased their price target on shares of Hewlett Packard Enterprise from $37.00 to $68.00 and gave the company an “overweight” rating in a research report on Tuesday, June 2nd. Finally, Raymond James Financial lifted their price objective on shares of Hewlett Packard Enterprise from $29.00 to $74.00 and gave the stock an “outperform” rating in a research report on Tuesday, June 2nd. Twelve investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, Hewlett Packard Enterprise currently has a consensus rating of “Moderate Buy” and an average target price of $69.25.

Hewlett Packard Enterprise Stock Down 7.2%

Shares of NYSE HPE traded down $3.75 during trading on Thursday, hitting $48.08. The stock had a trading volume of 16,910,477 shares, compared to its average volume of 20,743,398. Hewlett Packard Enterprise has a 12 month low of $19.84 and a 12 month high of $64.25. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.09 and a quick ratio of 0.75. The firm has a fifty day moving average of $49.63 and a two-hundred day moving average of $37.46. The company has a market capitalization of $63.66 billion, a PE ratio of 45.06, a PEG ratio of 0.54 and a beta of 1.43.

Hewlett Packard Enterprise (NYSE:HPE) last posted its quarterly earnings data on Wednesday, September 2nd. The technology company reported $1.11 EPS for the quarter, beating the consensus estimate of $0.93 by $0.18. Hewlett Packard Enterprise had a net margin of 3.94% and a return on equity of 11.91%. The firm had revenue of $12.21 billion during the quarter, compared to analyst estimates of $11.97 billion. During the same quarter last year, the business posted $0.44 EPS. The company’s revenue for the quarter was up 33.7% on a year-over-year basis. Hewlett Packard Enterprise has set its Q4 2026 guidance at 1.200-1.300 EPS and its FY 2026 guidance at 3.750-3.850 EPS. As a group, equities research analysts forecast that Hewlett Packard Enterprise will post 2.92 EPS for the current fiscal year.

Insider Activity at Hewlett Packard Enterprise

In related news, SVP Kirt P. Karros sold 18,785 shares of the firm’s stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $48.50, for a total value of $911,072.50. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.44% of the company’s stock.

Hedge Funds Weigh In On Hewlett Packard Enterprise

Hedge funds have recently made changes to their positions in the stock. California State Teachers Retirement System lifted its holdings in Hewlett Packard Enterprise by 4,299.0% during the 2nd quarter. California State Teachers Retirement System now owns 92,484,612 shares of the technology company’s stock worth $4,171,981,000 after purchasing an additional 90,382,225 shares in the last quarter. Capital World Investors purchased a new stake in shares of Hewlett Packard Enterprise in the fourth quarter worth about $901,751,000. Geode Capital Management LLC boosted its position in shares of 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 acquiring an additional 431,728 shares during the period. Elliott Investment Management L.P. grew its stake in Hewlett Packard Enterprise by 47.2% during 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 acquiring an additional 8,790,757 shares in the last quarter. Finally, Barrow Hanley Mewhinney & Strauss LLC purchased a new position in Hewlett Packard Enterprise during the second quarter valued at approximately $1,027,139,000. 80.78% of the stock is currently owned by hedge funds and other institutional investors.

Hewlett Packard Enterprise News Summary

Here are the key news stories impacting Hewlett Packard Enterprise this week:

• Positive Sentiment: Results and guidance beat expectations: HPE reported fiscal Q3 revenue of $12.21 billion, up 33.7% year over year, and adjusted EPS of $1.11 versus the roughly $0.93 consensus. The company raised fiscal 2026 EPS guidance to $3.75-$3.85 and revenue guidance to $46-$47 billion, both above analyst estimates. Q4 guidance also exceeded expectations. HPE Reports Fiscal 2026 Third Quarter Results
• Positive Sentiment: AI demand is driving growth: Strong demand for AI infrastructure lifted server and networking sales, helping produce record revenue, orders and profitability. HPE also outlined potential fiscal 2027 revenue growth of 13%-17% and at least $5 billion in free cash flow. HPE raises annual forecasts as AI and networking demand lifts revenue
• Positive Sentiment: Oracle networking collaboration expanded: HPE will deploy Juniper Networking technology across Oracle’s AI data centers, potentially strengthening its position in large-scale AI infrastructure and creating additional networking demand. HPE and Oracle deepen networking collaboration
• Neutral Sentiment: Networking Investor Day scheduled: HPE will hold an investor event on September 30 to discuss the Networking segment’s strategy, portfolio differentiation and growth opportunities. The event could provide further detail on the Juniper integration and AI-related demand. HPE to webcast Networking Investor Day event
• Negative Sentiment: Supply constraints remain a concern: Investors appear worried that limited availability of components and systems could restrict HPE’s ability to fulfill AI-related orders. Shares declined despite the earnings beat and raised outlook. Why is HPE stock falling despite stronger results?
• Negative Sentiment: Margin sustainability is under scrutiny: As AI systems become a larger portion of sales, investors are assessing whether HPE can maintain recent margin gains and convert strong demand into durable, profitable growth.

Hewlett Packard Enterprise Company Profile

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.