HPENEUTRAL

HPE P/E Ratio Analysis

43.8x

Higher than 64% of TECHNOLOGY sector peers

Updated 149h ago·SEC filings & market data

Key Takeaway

The P/E ratio of 43.8x means investors pay $43.80 for every $1 of the company's trailing earnings — a higher P/E indicates higher expected future growth.

Sector Performance

64th percentile

HPE

43.8x

Sector Median

39.5x

Sector Avg

41.3x

Prior Period

41.4x(Jul 2026)

↓ Declining

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Deep Analysis

The P/E ratio of 43.8x means investors pay $43.80 for every $1 of the company's trailing earnings — a higher P/E indicates higher expected future growth.

Relative to sector peers, HPE's 43.8x sits just above the TECHNOLOGY median of 42.9x, placing it in the 56th percentile among peers. The metric is increasing over the last 8 quarters, with a quarter-over-quarter rise of +5.7%; a year-over-year change is not available. This combination of a slightly elevated P/E and upward momentum suggests investors are pricing in improved earnings growth, but if growth fails to arrive, the stock faces downside risk from a multiple contraction. The level is close to the sector median, and the trend is moderate, so the metric neither strongly argues for nor against the stock. Overall, the P/E ratio supports the NEUTRAL verdict because valuation is roughly in line with peers while still trending up, leaving limited margin of safety.

Frequently Asked Questions

What does the P/E Ratio tell investors about HPE?

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.

How is the P/E Ratio calculated?

P/E Ratio is calculated as: Price / EPS.

How does HPE's P/E Ratio compare to its sector?

HPE's P/E Ratio of 43.8x compares to a TECHNOLOGY sector median of 39.5x, placing it in the 64th percentile.

Who are HPE's closest peers by P/E Ratio?

The closest TECHNOLOGY peers by P/E Ratio include: CSCO (37.1x), TXN (42.0x), DELL (34.2x), LRCX (52.7x), KLAC (57.2x).

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The Formula

Price / EPS

Why It Matters

Measures how much investors pay per dollar of earnings. A high P/E signals growth expectations; a low P/E may indicate undervaluation or slow growth.