Hewlett Packard Enterprise Co

HPE-PC
Country: United StatesPrice: $150.26Market Cap: $198.1B

Company Profile

Industry: Computers
SIC Sector: Industrial Machinery & Computing
Size: Large Cap($198.1B)
Revenue: $34.3B+13.8% YoY
Net Income: $57.0M-97.8% YoY

Financial Snapshot

Operating Margin-1.3%
Return on Equity0.2%
Debt / Equity1.03
Current Ratio1.01
EPS (Diluted)$-0.04+25.3%
Buybacks (1y)$202.0M
Buybacks (2y)$352.0M
Shares Retired−1.6% / −2.8% 2y

Similar Companies

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WDCWESTERN DIGITAL CORP
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Shareholder Return

Fiscal 2025

Issued 1.6% of shares last year, 2.8% issued over two.

Buybacks
$202.0M
Dividends
$684.0M

What drove EPS

A buyback raises earnings per share without the company earning more. This splits each year's change into the two.

FY22
−74.4% = −74.7% + 1.0%
FY23
133.3% = 133.3% + 0.0%
FY24
25.3% = 27.4% + −1.6%
Earnings Fewer shares More shares

The two parts do not sum exactly to the total — the difference is the cross-term, plus preferred capital where the company has any. It is left visible rather than distributed into the other two.

Share count is the denominator the filer used for diluted EPS, recovered as net income ÷ EPS — not the balance-sheet count, which is a point-in-time figure and would put the timing difference into this split. Years with a loss are omitted: a smaller share count makes a loss per share larger, so the decomposition inverts.

Company Financials

Annual data (10-K) · Last 5 years

MetricFY 2025FY 2024FY 2023FY 2022FY 2021
Market Cap$198.1B$73.2Best.$70.7Best.----
Revenue$34.3B↑14%$30.1B↑3%$29.1B↑2%$28.5B↑3%$27.8B
Operating Income-$437.0M↓120%$2.2B↑5%$2.1B↑167%$782.0M↓31%$1.1B
Net Income$57.0M↓98%$2.6B↑27%$2.0B↑133%$868.0M↓75%$3.4B
EPS (Diluted)$-0.04↓102%$1.93↑25%$1.54↑133%$0.66↓74%$2.58
Gross Margin—————
Operating Margin-1.3%↓118%7.3%↑1%7.2%↑161%2.7%↓33%4.1%
ROE0.2%↓98%10.4%↑9%9.6%↑119%4.4%↓75%17.2%
Total Debt$25.5B↑18%$21.6B↑38%$15.7B↓1%$15.8B↑5%$15.1B
Shareholders' Equity$24.7B↓1%$24.8B↑17%$21.2B↑7%$19.9B↓1%$20.0B
Current Ratio1.01↓21%1.29↑49%0.87↓2%0.88↓3%0.91
Debt / Equity1.03↑19%0.87↑17%0.74↓7%0.80↑6%0.75
Operating Cash Flow$2.9B↓33%$4.3B↓2%$4.4B↓4%$4.6B↓22%$5.9B
Free Cash Flow$627.0M↓68%$2.0B↑23%$1.6B↑9%$1.5B↓56%$3.4B
Scored from 10-K1d ago
MetricMarks

Risk-Aware Value

Akre

Three-Legged Stool

Druckenmiller

Macro-Enhanced Growth

Spier

Value Checklist

Pabrai

Dhandho Framework

Munger

Quality Focus

Ackman

Activist Value

Piotroski

F-Score

Greenblatt

Magic Formula

Lynch

GARP

Buffett

Quality Compounder

Graham

Defensive Value

VerdictHOLDFAILHOLDBUYHOLDPASSFAILPASSNot rankedFAILFAILFAIL
Score
Analysis
Intrinsic ValueN/AN/AN/A
Margin of Safety-858.9%-665.1%N/A-5886.5%-51713.8%-2708.6%-1984.0%-702.2%-1859.1%N/A-3195.2%N/A
Data As Of10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)10-K (2026-08-15)

Where They Agree

  • Debt & Leverage

    All 8 investors flag HPE-PC's debt & leverage

    Interest Coverage & Debt/EBITDAIC=-0.4x, D/EBITDA=11.1x
    ✗MarksInterest Coverage > 3x; Debt/EBITDA < 4x
    Debt Levels1.03
    ✗AkreDebt/Equity < 0.3✗MungerDebt/Equity < 0.5
    Total Debt / Shareholders Equity1.03
    ✗Ackman<= 1.0
    LT Debt / Total Assets Change24.78% -> 28.65%
    ✗PiotroskiDecreased YoY
    Show 4 more metrics ▾
    Total Debt / Equity1.03
    ✗Lynch< 0.33
    Cash - Long-term Debt$-16.0B
    ✗LynchPositive preferred
    Debt/Equity & Interest CoverageD/E: 1.03, IC: -0.4x
    ✗BuffettD/E < 0.5 AND Interest Coverage > 5x
    LT Debt vs Net Current AssetsLT Debt $21.7B vs NCA $351.0M
    ✗GrahamLT Debt <= Net Current Assets
  • Valuation models

    HPE-PC overvalued: all 9 models price fair value below $150.26 (median $7.21)

    Marks fair value$15.67
    ✗Marks-858.9% margin vs $150.26
    Akre fair value$19.64
    ✗Akre-665.1% margin vs $150.26
    Spier fair value$2.51
    ✗Spier-5886.5% margin vs $150.26
    Pabrai fair value$0.29
    ✗Pabrai-51713.8% margin vs $150.26
    Show 5 more metrics ▾
    Munger fair value$5.35
    ✗Munger-2708.6% margin vs $150.26
    Ackman fair value$7.21
    ✗Ackman-1984.0% margin vs $150.26
    Piotroski fair value$18.73
    ✗Piotroski-702.2% margin vs $150.26
    Greenblatt fair value$7.67
    ✗Greenblatt-1859.1% margin vs $150.26
    Buffett fair value$4.56
    ✗Buffett-3195.2% margin vs $150.26

Where They Disagree

  • Profitability

    No clean pass — all 11 investors flag at least one profitability criterion

    Discount to Intrinsic Value-288.9% (IV=$17.15 vs Price=$66.69)
    ✗Marks>= 20% below intrinsic value
    Positive Net Income Frequency12/13 years positive
    ✓MarksPositive net income in >= 7 of last 10 years
    Return on Equity6.7% (3-yr avg)
    ✗AkreROE > 20% (3-year avg)
    EPS Growth AccelerationLatest: -102.1%, Prior: 25.3%
    ✗DruckenmillerAccelerating EPS growth
    Show 19 more metrics ▾
    Margin of SafetyP/B=3.6x
    ✗SpierP/E < 15 AND P/B < 2.0✗PabraiP/B < 1.5 or P/E < 15
    Operating Income / Revenue-1.3%
    ✗Ackman>= 15%
    Net Income / Shareholders Equity0.2%
    ✗Ackman>= 15%
    Net Income / Total Assets0.08%
    ✓PiotroskiROA > 0
    ROA Change YoY3.62% -> 0.08% (delta: -3.54%)
    ✗PiotroskiCurrent ROA > Prior ROA
    (CFO / Total Assets) vs ROACFO/Assets=3.85%, ROA=0.08%
    ✓PiotroskiCFO/Assets > ROA
    Gross Margin Change YoY
    ✗PiotroskiImproved YoY
    EBIT / Enterprise Value-0.4%
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=-0.4%, ROC=-10.0%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    ROE0.2%
    ✗Lynch> 15%
    Net Income Positive (10+ years)12/14 years positive
    ✗BuffettPositive every year for 10+ years
    ROE (5-yr avg)8.3%
    ✗Buffett> 15% (5-yr avg)
    Operating Margin (10-yr trend)-1.3% (latest)
    ✗BuffettStable or rising over 10 years
    Free Cash Flow Proxy$502.0M
    ✗BuffettPositive and growing
    Earnings Variance (10-yr CoV)0.73
    ✗BuffettCoV < 0.3
    Retained Earnings Effectiveness1.06x
    ✓Buffett$1 retained -> > $1 market value created
    Positive EPS (10 years)11/14 years positive
    ✗GrahamPositive EPS every year for 10 years
    EPS Growth (3-yr avg, 10-yr window)13.2%
    ✗Graham>= 33% growth
  • Valuation

    1 of 9 pass — Marks, Spier, Pabrai +5 more object

    P/B or P/E vs. Historical AverageP/B=3.6x
    ✗MarksP/E < 15 or P/B < 2.0
    Discount to Intrinsic Value-288.9% (IV=$17.15 vs Price=$66.69)
    ✗Marks>= 20% below intrinsic value
    Price vs. 200-day MAQualitative
    ✓DruckenmillerPrice above 200-day moving average
    Margin of SafetyP/B=3.6x
    ✗SpierP/E < 15 AND P/B < 2.0
    Show 9 more metrics ▾
    P/E or FCF YieldFCF Yield=0.7%
    ✗PabraiP/E < 15 or FCF Yield > 10%
    Valuation ReasonablenessOE Yield=0.6%
    ✗MungerP/E < 25 or Owner Earnings Yield > 5%
    Price / FCF per Share140.2x
    ✗Ackman<= 25
    EBIT / Enterprise Value-0.4%
    ✗Greenblatt> 10%
    Earnings Yield + ROC AssessmentEY=-0.4%, ROC=-10.0%
    ✗GreenblattBoth EY > 10% and ROC > 25%
    P/E / EPS Growth Rate
    ✗Lynch< 1.0 (ideally < 0.5)
    Price / 3-yr avg EPS58.3x
    ✗Graham<= 15x
    Price-to-Book Ratio3.6x
    ✗Graham<= 1.5x
    P/E x P/B207.70
    ✗Graham<= 22.5
  • Cash Flow

    2 of 6 pass — Pabrai, Ackman, Lynch +1 more object

    FCF Positive11/13 years FCF positive
    ✓MarksPositive FCF in majority of recent years
    P/E or FCF YieldFCF Yield=0.7%
    ✗PabraiP/E < 15 or FCF Yield > 10%
    (OCF - CapEx) / Market Cap0.7%
    ✗Ackman>= 4%
    Price / FCF per Share140.2x
    ✗Ackman<= 25
    Show 4 more metrics ▾
    Operating Cash Flow$2.9B
    ✓PiotroskiCFO > 0
    (CFO / Total Assets) vs ROACFO/Assets=3.85%, ROA=0.08%
    ✓PiotroskiCFO/Assets > ROA
    FCF Positive and Growing$627.0M
    ✗LynchPositive and growing
    Free Cash Flow Proxy$502.0M
    ✗BuffettPositive and growing
  • Growth

    1 of 5 pass — Druckenmiller, Ackman, Lynch +1 more object

    Positive Net Income Frequency12/13 years positive
    ✓MarksPositive net income in >= 7 of last 10 years
    EPS Growth AccelerationLatest: -102.1%, Prior: 25.3%
    ✗DruckenmillerAccelerating EPS growth
    Revenue Growth RateLatest: 13.8%, Prior: 3.4%
    ✓DruckenmillerRevenue growth accelerating
    3yr Median Revenue Growth3.4%
    ✗Ackman>= 5%
    Show 5 more metrics ▾
    Positive EPS Growth Frequency3/5 years with positive EPS growth
    ✓AckmanPositive EPS growth in >= 3 of last 5 years
    P/E / EPS Growth Rate
    ✗Lynch< 1.0 (ideally < 0.5)
    3-5 Year EPS CAGR
    ✗Lynch15-30% (Fast Grower); > 0% to pass
    Inventory Growth vs Revenue GrowthInv: -18.7% vs Rev: 13.8%
    ✓LynchInventory growth < Revenue growth
    EPS Growth (3-yr avg, 10-yr window)13.2%
    ✗Graham>= 33% growth
  • Efficiency

    No clean pass — all 6 investors flag at least one efficiency criterion

    ROIC (high and growing)0/12 years ROIC > 15% (latest: -0.7%)
    ✗AkreROIC > 15% for 3+ years
    Reinvestment Rate x ROIC-0.0% (RR=0% x ROIC=-0.7%)
    ✗AkreReinvestment Rate * ROIC > 10%
    Return on Invested Capital-0.7%
    ✗Munger> 15%
    Current Ratio Change YoY1.29 -> 1.01
    ✗PiotroskiIncreased YoY
    Show 5 more metrics ▾
    Revenue / Total Assets Change YoY0.42x -> 0.45x
    ✓PiotroskiImproved YoY
    EBIT / (NWC + Net Fixed Assets)-10.0%
    ✗Greenblatt> 25%
    ROIC (3-5 yr avg)2.9%
    ✗Buffett> 10%
    ROIC - WACC-7.1%
    ✗BuffettPositive (WACC = 10%)
    Current Ratio1.01
    ✗Graham>= 2.0
  • Verdicts

    Split decision: 5 FAIL · 3 HOLD · 2 PASS · 1 BUY

    Overall verdict
    •MarksHOLD (5/8)✗AkreFAIL (2/7)•DruckenmillerHOLD (5/7)✓SpierBUY (7/8)•PabraiHOLD (5/8)✓MungerPASS (4/7)✗AckmanFAIL (3/9)✓PiotroskiPASS (F-Score 4)•GreenblattNot ranked✗LynchFAIL (1/7)✗BuffettFAIL (1/9)✗GrahamFAIL (1/9)

Historical Score Timeline

Industry Peers

Similar companies in Computers

HPE-PC vs Peers — Financial Grading

Revenue$34.3BMedian
Net Income$57.0MBottom 25%
ROE0.2%Bottom 25%
D/E1.03Median
Op. Margin-1.3%Bottom 25%
Curr. Ratio1.01Median
CompanyMarket CapPriceRevenueNet IncomeROED/EOp. MarginCurr. RatioGrahamBuffettLynchGreenblattPiotroski
Apple Inc.AAPL$4.46T$305.93$416.2B$112.0B151.9%1.4032.0%0.891/96/93/71/3F-Score 8
CISCO SYSTEMS, INC.CSCO$440.2B$111.68$56.7B$10.2B21.7%0.5620.8%1.004/97/93/70/3F-Score 8
INTERNATIONAL BUSINESS MACHINES CORPIBM$220.8B$234.32$67.5B$10.6B32.4%1.68—0.963/93/93/70/3F-Score 6
WESTERN DIGITAL CORPWDC$175.4B$508.80$9.5B$1.9B35.6%1.3124.5%1.081/91/93/71/3F-Score 4
NCR Voyix CorpNCRRP$138.6B$1002.00$2.7B$62.0M6.5%1.171.0%1.041/93/90/70/3F-Score 3
Fortinet, Inc.FTNT$117.4B$160.01$6.8B$1.9B149.8%0.8130.7%1.172/95/95/71/3F-Score 6
NetApp, Inc.NTAP$40.6B$207.08$6.2B$1.3B94.4%1.8426.8%1.443/95/93/71/3F-Score 8
HP INCHPQ$27.5B$30.11$55.3B$2.5B-730.9%-30.385.7%0.773/93/91/71/3F-Score 5