Hewlett Packard (HPE, $16.43) beats fiscal Q1 earnings expectations
Hewlett Packard Enterprise posted its first-quarter fiscal 2022 non-GAAP earnings of 53 cents per share, exceeding the Zacks Consensus Estimate by 15.2%. The figure is also higher than the company’s guidance of 42-50 cents. The year-ago quarter’s earnings were 52 cents per share.
Revenues rose +2% from the year-ago quarter to $7 billion, shy the consensus expectation of $7.02 billion. Annualized revenue run-rate (“ARR”) was up 23% year over year to $798 million.
The company’s revenue from its High Performance Compute & Artificial Intelligence segment rose+ 4% year over year to $790 million.
The Compute division’s sales increased 1% year on year to $3 billion, while revenues in the Intelligent Edge business climbed +11% to $901 million.
Financial Service revenues fell -2% year over year to $842 million. Revenues from the Storage business were down -3% year over year to $1.2 billion.
Corporate Investments & Other revenues rose +1% year over year.
Non-GAAP gross margin expanded 20 bps on a year-over-year basis to 33.9%, on the back of The strong pricing discipline, a positive mix shift toward high-margin software-rich businesses, cost takeouts and automation.
The company boosted its outlook for fiscal 2022 non-GAAP earnings to the range of $2.03-$2.17 per share, compared with prior forecast of $1.96-$2.10 per share.
It still expects free cash flow in the range of $1.8 billion to $2 billion.
HPE's MACD Histogram crosses above signal line
The Moving Average Convergence Divergence (MACD) for HPE turned positive on June 26, 2025. Looking at past instances where HPE's MACD turned positive, the stock continued to rise in of 51 cases over the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 25, 2025. You may want to consider a long position or call options on HPE as a result. In of 85 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where HPE advanced for three days, in of 329 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 265 cases where HPE Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 5 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where HPE declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
HPE broke above its upper Bollinger Band on June 30, 2025. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.089) is normal, around the industry mean (9.954). P/E Ratio (12.372) is within average values for comparable stocks, (96.587). Projected Growth (PEG Ratio) (2.142) is also within normal values, averaging (1.815). Dividend Yield (0.028) settles around the average of (0.042) among similar stocks. P/S Ratio (0.841) is also within normal values, averaging (18.207).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. HPE’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 79, placing this stock slightly better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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General Information
a provider of information technology solutions
Industry TelecommunicationsEquipment
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