HEWLETT PACKARD ENTERPRISE (1HPE.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1HPE - US42824C1099 - Common Stock
20.52 EUR
+1.76 (+9.36%)
Overall 1HPE gets a fundamental rating of 3 out of 10. We evaluated 1HPE against 31 industry peers in the Technology Hardware, Storage & Peripherals industry. 1HPE has a bad profitability rating. Also its financial health evaluation is rather negative. 1HPE has a correct valuation and a medium growth rate.
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.
Each year in the past 5 years 1HPE had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -0.08%, 1HPE perfoms like the industry average, outperforming 43.33% of the companies in the same industry.
1HPE's Return On Equity of -0.24% is in line compared to the rest of the industry. 1HPE outperforms 53.33% of its industry peers.
1HPE has a Return On Invested Capital of 2.80%. This is comparable to the rest of the industry: 1HPE outperforms 46.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for 1HPE is significantly below the industry average of 16.24%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.08% | ||
| ROE | -0.24% | ||
| ROIC | 2.8% |
ROA(3y)2.35%
ROA(5y)2.9%
ROE(3y)6.54%
ROE(5y)8.23%
ROIC(3y)4.48%
ROIC(5y)4.78%
1.3 Margins
Looking at the Operating Margin, with a value of 4.79%, 1HPE is in line with its industry, outperforming 60.00% of the companies in the same industry.
1HPE's Operating Margin has declined in the last couple of years.
The Gross Margin of 1HPE (30.26%) is comparable to the rest of the industry.
1HPE's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.79% | ||
| PM (TTM) | N/A | ||
| GM | 30.26% |
OM growth 3Y-15.03%
OM growth 5Y-4.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.2%
GM growth 5Y-0.73%
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.
The number of shares outstanding for 1HPE has been increased compared to 5 years ago.
1HPE has a worse debt/assets ratio than last year.
2.2 Solvency
1HPE has an Altman-Z score of 0.85. 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 0.85. 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 35.67. This is a negative value and a sign of low solvency as 1HPE would need 35.67 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 35.67, 1HPE is doing worse than 66.67% of the companies in the same industry.
1HPE has a Debt/Equity ratio of 0.72. This is a neutral value indicating 1HPE is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.72, 1HPE is not doing good in the industry: 63.33% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 35.67 | ||
| Altman-Z | 0.85 |
ROIC/WACC0.41
WACC6.9%
2.3 Liquidity
A Current Ratio of 1.01 indicates that 1HPE should not have too much problems paying its short term obligations.
The Current ratio of 1HPE (1.01) is worse than 70.00% of its industry peers.
A Quick Ratio of 0.76 indicates that 1HPE may have some problems paying its short term obligations.
1HPE's Quick ratio of 0.76 is on the low side compared to the rest of the industry. 1HPE is outperformed by 73.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.76 |
3. Growth
3.1 Past
1HPE shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.53%.
1HPE shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.41% yearly.
The Revenue has grown by 13.84% 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 4.91% yearly.
EPS 1Y (TTM)-2.53%
EPS 3Y-1.51%
EPS 5Y7.41%
EPS Q2Q%6.9%
Revenue 1Y (TTM)13.84%
Revenue growth 3Y6.37%
Revenue growth 5Y4.91%
Sales Q2Q%14.44%
3.2 Future
The Earnings Per Share is expected to grow by 15.07% on average over the next years. This is quite good.
The Revenue is expected to grow by 8.07% on average over the next years. This is quite good.
EPS Next Y24.04%
EPS Next 2Y20.03%
EPS Next 3Y16.44%
EPS Next 5Y15.07%
Revenue Next Year17.95%
Revenue Next 2Y11.47%
Revenue Next 3Y9.35%
Revenue Next 5Y8.07%
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
With a Price/Earnings ratio of 12.44, 1HPE is valued correctly.
1HPE's Price/Earnings ratio is rather cheap when compared to the industry. 1HPE is cheaper than 86.67% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.39, 1HPE is valued rather cheaply.
The Price/Forward Earnings ratio is 10.04, which indicates a very decent valuation of 1HPE.
Based on the Price/Forward Earnings ratio, 1HPE is valued a bit cheaper than the industry average as 70.00% of the companies are valued more expensively.
1HPE is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.84, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.44 | ||
| Fwd PE | 10.04 |
4.2 Price Multiples
70.00% of the companies in the same industry are more expensive than 1HPE, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1HPE is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 50.57 | ||
| EV/EBITDA | 11.03 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1HPE's earnings are expected to grow with 16.44% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.52
PEG (5Y)1.68
EPS Next 2Y20.03%
EPS Next 3Y16.44%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.38%, 1HPE has a reasonable but not impressive dividend return.
1HPE's Dividend Yield is rather good when compared to the industry average which is at 0.89. 1HPE pays more dividend than 83.33% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, 1HPE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
5.2 History
The dividend of 1HPE has a limited annual growth rate of 4.91%.
Dividend Growth(5Y)4.91%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
The earnings of 1HPE are negative and hence is the payout ratio. 1HPE will probably not be able to sustain this dividend level.
The dividend of 1HPE is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-1349.15%
EPS Next 2Y20.03%
EPS Next 3Y16.44%
BIT:1HPE (12/11/2025, 7:00:00 PM)
20.52
+1.76 (+9.36%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners90.91%
Inst Owner ChangeN/A
Ins Owners0.33%
Ins Owner ChangeN/A
Market Cap27.08B
Revenue(TTM)34.30B
Net Income(TTM)-59.00M
Analysts74.62
Price Target22.32 (8.77%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.38% |
Yearly Dividend0.52
Dividend Growth(5Y)4.91%
DP-1349.15%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.29%
Min EPS beat(2)1.17%
Max EPS beat(2)5.42%
EPS beat(4)3
Avg EPS beat(4)5.16%
Min EPS beat(4)-1.9%
Max EPS beat(4)15.97%
EPS beat(8)7
Avg EPS beat(8)5.21%
EPS beat(12)11
Avg EPS beat(12)5.87%
EPS beat(16)13
Avg EPS beat(16)5.01%
Revenue beat(2)1
Avg Revenue beat(2)1.25%
Min Revenue beat(2)-3.57%
Max Revenue beat(2)6.06%
Revenue beat(4)2
Avg Revenue beat(4)0.85%
Min Revenue beat(4)-3.57%
Max Revenue beat(4)6.06%
Revenue beat(8)4
Avg Revenue beat(8)0.36%
Revenue beat(12)5
Avg Revenue beat(12)-0.04%
Revenue beat(16)6
Avg Revenue beat(16)-0.04%
PT rev (1m)0.92%
PT rev (3m)19.28%
EPS NQ rev (1m)1.2%
EPS NQ rev (3m)11.98%
EPS NY rev (1m)-0.35%
EPS NY rev (3m)15.7%
Revenue NQ rev (1m)-5.72%
Revenue NQ rev (3m)14.1%
Revenue NY rev (1m)0.85%
Revenue NY rev (3m)18.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.44 | ||
| Fwd PE | 10.04 | ||
| P/S | 0.92 | ||
| P/FCF | 50.57 | ||
| P/OCF | 10.86 | ||
| P/B | 1.28 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.03 |
EPS(TTM)1.65
EY8.04%
EPS(NY)2.04
Fwd EY9.96%
FCF(TTM)0.41
FCFY1.98%
OCF(TTM)1.89
OCFY9.21%
SpS22.19
BVpS15.98
TBVpS-3.53
PEG (NY)0.52
PEG (5Y)1.68
Graham Number24.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -0.08% | ||
| ROE | -0.24% | ||
| ROCE | 3.21% | ||
| ROIC | 2.8% | ||
| ROICexc | 3.16% | ||
| ROICexgc | 9.35% | ||
| OM | 4.79% | ||
| PM (TTM) | N/A | ||
| GM | 30.26% | ||
| FCFM | 1.83% |
ROA(3y)2.35%
ROA(5y)2.9%
ROE(3y)6.54%
ROE(5y)8.23%
ROIC(3y)4.48%
ROIC(5y)4.78%
ROICexc(3y)5.61%
ROICexc(5y)5.73%
ROICexgc(3y)14.25%
ROICexgc(5y)14.22%
ROCE(3y)5.21%
ROCE(5y)5.58%
ROICexgc growth 3Y-15.86%
ROICexgc growth 5Y-2.73%
ROICexc growth 3Y-20.88%
ROICexc growth 5Y-6.13%
OM growth 3Y-15.03%
OM growth 5Y-4.02%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-3.2%
GM growth 5Y-0.73%
F-Score4
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 35.67 | ||
| Debt/EBITDA | 4.05 | ||
| Cap/Depr | 83.74% | ||
| Cap/Sales | 6.68% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.63% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 0.76 | ||
| Altman-Z | 0.85 |
F-Score4
WACC6.9%
ROIC/WACC0.41
Cap/Depr(3y)94.72%
Cap/Depr(5y)101.28%
Cap/Sales(3y)8.08%
Cap/Sales(5y)8.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-2.53%
EPS 3Y-1.51%
EPS 5Y7.41%
EPS Q2Q%6.9%
EPS Next Y24.04%
EPS Next 2Y20.03%
EPS Next 3Y16.44%
EPS Next 5Y15.07%
Revenue 1Y (TTM)13.84%
Revenue growth 3Y6.37%
Revenue growth 5Y4.91%
Sales Q2Q%14.44%
Revenue Next Year17.95%
Revenue Next 2Y11.47%
Revenue Next 3Y9.35%
Revenue Next 5Y8.07%
EBIT growth 1Y-34.08%
EBIT growth 3Y-9.62%
EBIT growth 5Y0.7%
EBIT Next Year108.98%
EBIT Next 3Y38.25%
EBIT Next 5YN/A
FCF growth 1Y-68.24%
FCF growth 3Y-24.74%
FCF growth 5YN/A
OCF growth 1Y-32.76%
OCF growth 3Y-14.02%
OCF growth 5Y5.44%
HEWLETT PACKARD ENTERPRISE / 1HPE.MI FAQ
What is the fundamental rating for 1HPE stock?
ChartMill assigns a fundamental rating of 3 / 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 3 / 10.
Can you provide the PE and PB ratios for 1HPE stock?
The Price/Earnings (PE) ratio for HEWLETT PACKARD ENTERPRISE (1HPE.MI) is 12.44 and the Price/Book (PB) ratio is 1.28.
Can you provide the dividend sustainability for 1HPE stock?
The dividend rating of HEWLETT PACKARD ENTERPRISE (1HPE.MI) is 5 / 10 and the dividend payout ratio is -1349.15%.