Analysis for HPE

$58.63 -4.48 (-7.10%)

📈 Growth — 17/30
💰 Profitability — 15/20
🏦 Financial Health — 14/20
💵 Valuation — 12/20
⚠️ Risk — 6/10

Overall Score: 62/100

Summary:

📈 Growth & Financial Trajectory

Over eight quarters, Revenues rose from about $8.46B to $10.68B, a cumulative gain near 26%. The path includes a mid-2025 trough (2025 Q2) but a solid recovery into 2026. Net Income trended down and then recovered: from about $1.38B at the start to about $0.62B in 2026 Q2, with a negative quarter in 2025 Q2.

💰 Margins & Cash Flow

Operating income swung positive in most quarters; 2026 Q2 shows Operating Income of $0.747B, implying a margin around 7% on Revenues. Net cash flow from operating activities was consistently positive, with a range roughly $1.15B–$1.41B across the eight quarters, supporting liquidity. Investing cash flow was negative in several periods, and free cash flow remained modestly positive on aggregate.

🛡️ Balance Sheet & Liquidity

Total Assets are about $79.5B vs Liabilities around $54.1B and Equity near $25.3B at 2026 Q2, suggesting a balanced capital structure. Current ratio sits near 1.0–1.1, indicating modest liquidity resilience. Long-term debt is around $21.7B.

⚠️ Key Drivers & Risks

Drivers: AI/Data Center demand, hybrid/cloud infrastructure spending
Risks: Earnings volatility from quarterly swings, cyclicality and valuation sensitivity