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Prominent Hedge Fund Acquires Huge Stake in HPE: Is It a Buy Now?
MarketBeat· 2025-04-18 12:34
Hewlett Packard Enterprise NYSE: HPE now finds itself in a precarious situation. The firm will deal with something that many executives dread: activist investors. This situation comes as headlines broke that the investment company Elliott Management has accumulated a large stake in HPE. Hewlett Packard Enterprise Today HPE Hewlett Packard Enterprise $15.13 +0.25 (+1.65%) 52-Week Range $11.97 ▼ $24.66 Dividend Yield 3.44% P/E Ratio 7.96 Price Target $20.60 Add to Watchlist Elliott Management engages in vario ...
Stock Of The Day: More Upside For Hewlett Packard?
Benzinga· 2025-04-16 15:12
Trading in Hewlett Packard Enterprise Company HPE is quiet on Wednesday. This comes after yesterday's gain of more than 5%. The move was driven by news that activist fund Elliot Investment Management has invested more than $1.5 billion in Hewlett.There is a chance that the stock continues to move higher. Yesterday's rally may have made the shares ‘breakout' above a resistance level. This is why we have made it our Stock of the Day.In the financial markets, there is a tendency for price levels that had been ...
HPE stock jumps after $1.5B Elliott investment
Proactiveinvestors NA· 2025-04-15 18:19
Company Overview - Proactive is a financial news publisher that provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The company has a team of experienced and qualified news journalists who produce independent content [2] Market Focus - Proactive specializes in medium and small-cap markets while also covering blue-chip companies, commodities, and broader investment stories [3] - The content delivered includes insights across various sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] Technology Adoption - Proactive is recognized for its forward-looking approach and enthusiastic adoption of technology to enhance workflows [4] - The company utilizes automation and software tools, including generative AI, while ensuring that all content is edited and authored by humans [5]
HPE stock rallies after Elliott Investment reportedly builds $1.5B stake
Invezz· 2025-04-15 17:20
Elliott Investment Management has quietly built a stake worth more than $1.5 billion in HewlettPackard Enterprise Co. (HPE), becoming one of the networking and software company’s top five shareholders, according to a Bloomberg report citing people familiar with the matter.The activist hedge fund, known for its aggressive shareholder campaigns in the tech sector, is expected to push for changes to enhance shareholder value at HPE, although its exact demands are not yet known, the report said. Both Elliott an ...
HPE shares pop after activist Elliott Management takes $1.5 billion stake
CNBC· 2025-04-15 14:18
Shares of Hewlett Packard Enterprise jumped nearly 5% after Elliott Investment Management took a more than $1.5 billion stake in the server maker, a person familiar with the matter told CNBC. The activist investor hopes to engage the company in discussions on how to improve shareholder value, the source said. Elliott declined to comment on the news. HPE did not immediately respond to CNBC's request. Shares of the data center equipment maker have lost more than a fourth in value this year. Last month, the co ...
HPE Stock Plunges 36% in 3 Months: Should You Buy, Sell or Hold?
ZACKS· 2025-04-03 15:35
Hewlett Packard Enterprise (HPE) shares have lost 36.1% in the past three months, underperforming the Zacks Computer - Integrated Systems industry, Zacks Computer and Technology sector and the S&P 500 index’s decline of 7.9%, 13.6% and 5.6%, respectively.HPE 3 Month Price Performance ChartImage Source: Zacks Investment ResearchThe recent decline in HPE’s stock price stems from broader market weakness. Investor sentiment has soured amid rising trade tension, with additional tariffs raising fears of escalatin ...
HPE's Transformation: From Server Maker To Platform Provider
Seeking Alpha· 2025-04-02 12:42
Hewlett Packard Enterprise (NYSE: HPE ) is the same company that split from the legendary HP in 2015 and has been actively moving along its development path ever since. Today, HPE is about servers, data storageMy professional background spans multiple continents and includes experience in private banking, corporate finance, and strategic advisory. For several years, I developed and led a private banking department in Dubai, where I crafted tailored investment solutions to meet the unique needs of affluent c ...
Hewlett Packard Stock's Death Cross Signals Trouble: Can AI Hype Save It?
Benzinga· 2025-03-25 13:00
Hewlett Packard Enterprise Co. HPE investors have a technical red flag flashing—the dreaded Death Cross. The stock has tumbled 23.24% year-to-date and 18.78% in the past month, and now, a bearish crossover of the 50-day and 200-day simple moving averages suggests more downside could be ahead.While HPE's AI collaboration with Nvidia Corp NVDA is generating buzz, the technicals tell a different story.Read Also: Nvidia Stock Climbs As AI, Tariff News Spark Buying InterestHPE Stock: A Strongly Bearish Trend Cha ...
HPE Q1 Earnings Miss Estimates: Will Weak Guidance Drag the Stock?
ZACKS· 2025-03-07 15:45
Hewlett Packard Enterprise (HPE) reported first-quarter fiscal 2025 non-GAAP earnings of 49 cents per share, which missed the Zacks Consensus Estimate by 2%. The figure rose 2% year over year.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.HPE’s revenues increased 16.3% year over year to $7.85 billion and surpassed the Zacks Consensus Estimate by 0.55%. The top line grew on the back of Server, Hybrid Cloud and Financial services segments, driven by increased sales in artificial intell ...
HPE(HPE) - 2025 Q1 - Quarterly Report
2025-03-07 13:22
Financial Performance - For the three months ended January 31, 2025, GAAP net revenue was $7.854 billion, an increase from $6.755 billion in the same period of fiscal 2024, representing a growth of approximately 16.2%[266]. - GAAP gross profit for the same period was $2.295 billion, with a gross profit margin of 29.2%, down from $2.457 billion and 36.4% in fiscal 2024[266]. - The company reported a free cash flow of negative $877 million for the three months ended January 31, 2025, compared to negative $482 million for the same period in 2024[243]. - Free cash flow (FCF) decreased to $(877) million for the three months ended January 31, 2025, compared to $(482) million in the same period of fiscal 2024[273]. - Non-GAAP net earnings attributable to HPE exclude certain charges, including those related to equity interests and taxes, to provide a clearer view of operational performance[283]. Cash Flow and Liquidity - For the three months ended January 31, 2025, net cash used in operating activities increased by $0.5 billion compared to the same period in fiscal 2024, primarily due to unfavorable changes in other assets and liabilities[244]. - The company expects internally generated cash flows to be generally sufficient to support operating businesses and capital expenditures for at least the next twelve months[233]. - The company anticipates that funds from operations and access to capital markets will meet liquidity requirements for the foreseeable future[233]. - As of January 31, 2025, cash, cash equivalents, and restricted cash totaled $13.852 billion, while total debt was $17.877 billion[240]. - The cash conversion cycle increased to 5 days as of January 31, 2025, compared to a negative 12 days as of October 31, 2024[245]. Investments and Divestitures - The company completed the divestiture of its CTG business to HCLTech on December 1, 2024, receiving net proceeds of $210 million and recognizing a gain of $244 million[238]. - The company divested 30% of H3C's total issued share capital on September 4, 2024, receiving $2.1 billion in pre-tax consideration, which is expected to result in annualized cost savings of approximately $120 million[282]. - The company incurred a gain of $244 million from the sale of CTG on December 1, 2024, which is considered a discrete event for non-GAAP calculations[283]. - Future cash payments of approximately $159 million are expected in connection with approved restructuring plans, with $47 million to be paid through the remainder of fiscal 2025[260]. Debt and Financing Activities - The company issued $9.0 billion of senior unsecured notes and $1.5 billion of Preferred Stock in September 2024 to fund a portion of the acquisition of Juniper Networks[239]. - Net cash used in financing activities increased by $0.9 billion to $0.8 billion for the same period, primarily due to lower proceeds from debt[251]. - The company maintains a revolving credit facility and two commercial paper programs, with no changes since October 31, 2024[254]. Operational Metrics - Days of sales outstanding (DSO) increased to 40 days as of January 31, 2025, compared to 38 days as of October 31, 2024[245]. - DSO (Days Sales Outstanding) decreased due to higher early collections, while DOS (Days of Sales) increased due to higher inventory levels from strategic purchases for AI systems[246][247]. Cost Management - The company anticipates making contributions of approximately $143 million to non-U.S. pension plans for the remainder of fiscal 2025[259]. - The projected non-GAAP income tax rate for fiscal 2025 is set at 15%, consistent with the previous fiscal year, reflecting the company's tax structure and positions[289]. - The company expects future annualized cost savings of approximately $120 million following the H3C divestiture and related severance actions[282]. - Non-GAAP measures are used to supplement GAAP results, providing a clearer view of financial performance without the impact of non-cash expenses and discrete events[287].