HPE Hewlett Packard Enterprise Company
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Daily prices, adjusted for splits. P/E and P/S value each day on the results published by then; a gap in P/E means the trailing year had no profit.
Communication Equipment · Spring, TX · 67,000 employees · hpe.com
Hewlett Packard Enterprise provides enterprise computing solutions, encompassing general-purpose and specialized servers, hybrid cloud data platforms, and networking equipment. The business earns revenue by selling this infrastructure hardware and related software to commercial and public sector clients, supported by maintenance services and financing programs. Its offerings are distributed globally through a network of resellers, systems integrators, and direct partner channels.
Bull case
The business benefits from an ongoing artificial intelligence infrastructure spending cycle, providing the systems and hardware consumed by AI workloads. Its revenue growth has also accelerated, though this improvement includes the impact of acquired businesses.
- The price assumes about +13% a year cash-flow growth; it delivered +49% a year over three years, including acquisitions.
- Annual revenue growth rose from +14% to +27%, including acquired businesses.
- The share price trend is rising.
Bear case
The company lacks an economic moat, as its returns on capital remain below its cost of capital. Additionally, it holds minor exposure to the risk that the ongoing build-out of artificial intelligence infrastructure might not continue.
- Trades at the 90th percentile of its own valuation history.
- Returns on capital are below its cost of capital.
- Its sector cycle (AI Infrastructure CapEx) is in saturation.
Features
- V-OVERVALUED Overvalued The price is 160% above its own-history reference value.
- V-NO-MOAT No moat Returns on capital are below its cost of capital.
- V-ACCELERATING Growth accelerating Annual revenue growth rose from +14% to +27%, including acquired businesses. Shared by most companies we track
AI impact
Supplies what AI runs on Tailwind
The company sells servers, supercomputing systems, and data center networking, which benefit from rising demand for hardware to power artificial intelligence workloads. However, large orders for these systems create revenue fluctuations and leave the business vulnerable if customer spending on infrastructure slows.
Where AI helps it
- Sells what AI workloads consume
Where AI could hurt it
- Depends on the AI build-out continuing (minor)
In the company's words
The Server segment consists of general-purpose servers for multi-workload computing, workload-optimized servers to deliver the best performance and value for demanding applications, and integrated systems comprised of software and hardware designed to address High-Performance Computing and…
Sales of AI systems to such customers have caused, and may continue to cause, fluctuations in our results of operations, as such large orders may occur in some periods and not others and are generally subject to intense competition and pricing pressure, which can have an impact on our margins and…
Assessed by AI from the company's own annual report filed 18 Dec 2025 and quarterly report filed 3 Sep 2026. A reading of the business, not a forecast or a recommendation.
Valuation position
HPE is at the 90th percentile of its own valuation history. Depending on how far back you look, it ranges from the 82nd to the 90th percentile. This is a relative measurement, not a price target or recommendation, and it assumes the business is still the one its history describes.
Price ladder
The measured price sits in the Above reference zone. These are reference zones, not buy instructions or forecasts that the prices will be reached.
This ladder rests on the company's own valuation history alone: there are too few comparable companies to cross-check it, so treat its zones as less certain.
What the price assumes
The measured price implies roughly +13.3% annual cash-flow growth, between +6.4% and +18.5% under other reasonable assumptions. Over the last three years it delivered +48.5% a year.
An estimate that depends on its assumptions, not a forecast.
Quality versus peers
Each dimension is shown on its own; they are not combined into a score.
Current analyst snapshot
Shown for reference only; not used in any measurement.
What would have to break
- Not triggered — Revenue decline
- Not available — Margin break
- Not triggered — Cash burn with rising debt
- Not triggered — Heavy dilution
- Not triggered — Warning language in filings
News
No recent brief on this company.