Hewlett Packard Enterprise Company
Hewlett Packard Enterprise Company Fundamental Analysis
Hewlett Packard Enterprise Company (2HP.DE) shows moderate financial fundamentals with a PE ratio of -278.75, profit margin of -0.33%, and ROE of -0.48%. The company generates $36.1B in annual revenue with strong year-over-year growth of 14.06%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 32.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze 2HP.DE's fundamental strength across five key dimensions:
Efficiency Score
Weak2HP.DE struggles to generate sufficient returns from assets.
Valuation Score
Excellent2HP.DE trades at attractive valuation levels.
Growth Score
Moderate2HP.DE shows steady but slowing expansion.
Financial Health Score
Excellent2HP.DE maintains a strong and stable balance sheet.
Profitability Score
Weak2HP.DE struggles to sustain strong margins.
Key Financial Metrics
Is 2HP.DE Expensive or Cheap?
P/E Ratio
2HP.DE trades at -278.75 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, 2HP.DE's PEG of 0.93 indicates potential undervaluation.
Price to Book
The market values Hewlett Packard Enterprise Company at 1.32 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.29 times EBITDA. This is generally considered low.
How Well Does 2HP.DE Make Money?
Net Profit Margin
For every $100 in sales, Hewlett Packard Enterprise Company keeps $-0.33 as profit after all expenses.
Operating Margin
Core operations generate -0.76 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-0.48 in profit for every $100 of shareholder equity.
ROA
Hewlett Packard Enterprise Company generates $-0.16 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hewlett Packard Enterprise Company produces operating cash flow of $4.53B, showing steady but balanced cash generation.
Free Cash Flow
Hewlett Packard Enterprise Company produces free cash flow of $2.17B, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.61 in free cash annually.
FCF Yield
2HP.DE converts 6.50% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-278.75
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.93
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.32
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.93
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.87
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.03
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.00
vs 25 benchmark
ROA
Return on assets percentage
-0.00
vs 25 benchmark
ROCE
Return on capital employed
-0.01
vs 25 benchmark
How 2HP.DE Stacks Against Its Sector Peers
| Metric | 2HP.DE Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -278.75 | 33.94 | Better (Cheaper) |
| ROE | -0.48% | 1002.00% | Weak |
| Net Margin | -0.33% | -48086.00% (disorted) | Weak |
| Debt/Equity | 0.87 | 0.44 | Weak (High Leverage) |
| Current Ratio | 1.03 | 5.74 | Neutral |
| ROA | -0.16% | -288351.00% (disorted) | Weak |
2HP.DE outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hewlett Packard Enterprise Company's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
24.40%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
117.30%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
27.36%
Industry Style: Growth, Innovation, High Beta
High Growth