Should I buy Hewlett Packard Enterprise stock in 2025? NZ Analysis & Insights

What is Hewlett Packard Enterprise?

How much is the Hewlett Packard Enterprise stock?

The price of Hewlett Packard Enterprise stock is declining this week. As of now, the stock trades at $17.65 USD, marking a 24-hour decrease of $0.04 (-0.23%) and a weekly drop of 1.32%. HPE’s market capitalisation stands at $23.18 billion, with an average 3-month volume of 21.82 million shares. The stock shows a price/earnings (P/E) ratio of 8.49, a dividend yield of 2.95%, and a beta of 1.31. With notable but typical volatility for the tech sector, HPE’s shares may appeal to NZ investors looking for both yield and future growth potential.

Our full analysis on the Hewlett Packard Enterprise stock

After a rigorous review of Hewlett Packard Enterprise's (HPE) most recent financial disclosures and its robust share price evolution over the last three years, our advanced analytics have synthesised a range of perspectives: from key financial ratios and technical momentum, to strategic developments and sectoral positioning. Drawing on both proprietary and industry-standard models, this report captures the full spectrum of data most relevant to NZ-based investors. So, why might Hewlett Packard Enterprise once again represent a strategic entry point into the global technology infrastructure sector in 2025?

Recent Performance and Market Context

HPE’s share price currently stands at $17.65, positioning it closer to the lower bound of its 52-week range ($11.97 - $24.66) despite a stellar five-year gain of 81.77%. While the year-to-date performance (-17.33%) may signal recent headwinds, this context offers NZ investors an appealing technical “reset” as a potential base for renewed upward movement.

Major catalysts underpinning the current setup include Elliott Management’s recent $1.5 billion stake—an activist position that has quickly placed Elliott among HPE’s top five shareholders. This points to heightened institutional confidence and likely shareholder-enriching strategies ahead. Additionally, the sector remains fundamentally resilient: rapid digitisation, AI, and edge-to-cloud transformation initiatives continue to drive robust global demand for technology infrastructure, with HPE positioned at the very centre.

The global backdrop continues to favour technology spend, as enterprises—across Australasia and beyond—accelerate network, cloud, and AI integration, arguably setting up HPE for a structural advantage into 2025 and beyond.

Technical Analysis

Key technical indicators suggest a constructive tone for HPE shares in the short to medium term:

• RSI (14): 59.24, indicating neither overbought nor oversold, but with momentum trending upwards.
• MACD (12,26,9): A bullish 0.46, signalling improving price momentum.
• Williams %R: -32.89, aligning with a buy signal.
• Moving Averages: The 5-, 20-, and 50-day moving averages ($17.63, $17.26, and $16.04, respectively) all deliver buy signals, underscoring a supportive technical structure. While 100- and 200-day averages ($18.28 and $19.06) indicate a minor overhang, this is common in bottoming phases and may set the stage for a mean-reversion rally.
• Support and Resistance: Immediate technical support is seen at $17.41. Next resistance sits at $17.66, with a broader upper barrier at $18.08. Technical setups like these frequently attract accumulation phases among disciplined investors.

The overall technical consensus registers as bullish (12 positive signals versus just 4 negative), suggesting upside momentum may soon gather force, especially if accompanied by fundamental or news-driven catalysts.

Fundamental Analysis

HPE’s latest Q1 2025 numbers present a powerful narrative of resilience and growth:

• Revenue: $7.9 billion (+16% year-on-year), reflecting strong demand across core divisions.
• GAAP EPS: $0.44 (+52% YoY), with non-GAAP EPS of $0.49, underscoring operational leverage.
• Segmental Strength:
• Servers up 29% YoY (to $4.3bn), high-margin Intelligent Edge showing stable profitability at 27.4% margin, and Hybrid Cloud up 10% YoY—demonstrating effective execution across high-growth vectors.
• Valuation: With a current P/E of just 8.49 and forward P/E of 9.74, HPE trades at a notable discount both to tech peers and its own historical averages. The Price/Sales of 0.77 and Price/Book of 0.92 further reinforce the view that HPE's market value is anchored by tangible fundamentals, not excessive growth premiums.

Additionally, HPE’s dividend yield of 2.95% stands out in the tech sector, delivering a compelling yield with quarterly payouts—a key consideration for NZ-based income-oriented investors.

Despite a softer gross margin (down 720bps), the company continues to demonstrate structural strengths:

• Innovation leadership: most advanced private cloud portfolio, AI-focused partnerships (notably with NVIDIA), and new distributed Aruba networking switches.
• Global footprint: direct relevance for NZ institutions and funds seeking blue-chip exposure with worldwide reach and diversified customer bases.
• Brand durability: HPE’s longstanding reputation as a trusted infrastructure solutions provider is a core intangible asset often undervalued by markets.

Volume and Liquidity

HPE’s average daily trading volume of 21.82 million shares, supported by a float of approximately 1.31 billion, signals deep liquidity. This consistent turnover reflects broad investor participation and helps underpin orderly price discovery—enabling NZ-based investors to build, adjust, or exit positions as required within dynamic global trading hours.

Moreover, high liquidity often precedes valuation re-ratings as institutional capital seeks scalable opportunities, especially in times of sector rotation or thematic repositioning.

Catalysts and Positive Outlook

Multiple converging catalysts are set to shape HPE’s future trajectory:

• AI & Supercomputing: Partnerships with NVIDIA and enhanced AI Factory offerings place HPE at a frontrunner position in the coming AI infrastructure boom—a segment expected to compound at double-digit rates in the coming years.
• Cloud Expansion: The GreenLake enterprise cloud platform continues to show high double-digit growth, capturing enterprise migration trends towards hybrid and edge computing.
• Strategic Transactions: The outcome of the proposed Juniper Networks acquisition (with a DOJ decision forthcoming) remains a potential value unlocker. If completed, the enlarged group will strengthen HPE’s networking scale and competitive moat.
• Activist Engagement: Elliott Management’s involvement historically signals operational streamlining or strategic shifts aimed at unlocking shareholder value.
• Upcoming Earnings: Q2 results (scheduled for 3 June 2025) and the July Juniper legal outcome are both significant events that could act as immediate price catalysts.

At a macro level:

• Continued digital transformation across financial services, healthcare, logistics, and government verticals underpin sustained multi-year demand.
• ESG initiatives and next-gen cybersecurity capabilities enhance the group’s desirability for global allocators, including NZ superannuation and institutional portfolios.

Analyst consensus values HPE at a median target of $21.50—offering over 21% potential upside from current levels—with some models projecting as high as $22.95. The consensus rating is a clear “Buy”, reflecting widespread institutional confidence.

Investment Strategies

From several perspectives, HPE appears to offer a compelling setup for multiple investment horizons:

• Short-term:
• Attractive technical support (just above $17.40) provides a tightly-defined risk entry for active traders, with imminent catalysts likely to prompt volatility and potential rapid re-rating upon favourable updates, especially around earnings or legal milestones.
• Medium-term:
• The technical structure (recent base, positive momentum building, activist engagement) and the embedded growth potential from ongoing digital transformation play well into the hands of swing traders and pragmatic investors targeting multi-month horizons. Accumulating shares ahead of resolution of the Juniper deal and as markets digest Q2 results may offer asymmetric reward.
• Long-term:
• Value investors will appreciate HPE's low earnings multiples (sub-9x P/E), consistent dividend policy, broad-based operating leverage, and secular positioning within AI and hybrid cloud infrastructure. For NZ investors seeking exposure to resilient, cash-generative global technology leaders, HPE represents a desirable core holding, reinforced by its strong brand and ongoing innovation cycle.

Optimal entry points seem to align with current levels near technical lows and just ahead of key strategic catalysts.

Is It the Right Time to Buy Hewlett Packard Enterprise?

Summing up, Hewlett Packard Enterprise exhibits a powerful blend of value pricing, solid revenue growth, and strategic innovation at a time when the technology sector is poised for another wave of capital investment. The convergence of activist investment, renewed analyst optimism, and a robust technical base—combined with high liquidity, scalable dividends, and expansion into next-generation AI and cloud—justifies serious renewed attention from NZ equities investors.

While margin pressures and regulatory uncertainties around Juniper remain areas to watch, these risks appear well-reflected in the current price, and may soon transition into sources of upside should they resolve favourably.

For those seeking global technology exposure with a unique combination of value and growth, Hewlett Packard Enterprise seems to represent an excellent opportunity at current levels. With compelling upside potential, defensible downside, and clear strategic catalysts ahead, HPE stock has the hallmarks of a new bullish phase—well worthy of close consideration for near-term action and long-term inclusion in growth-oriented portfolios.

Ultimately, Hewlett Packard Enterprise stands out as a stock not just ready for recovery, but one potentially set to lead the next cycle of tech infrastructure growth—making it a timely and conviction-worthy candidate on the investment radar of discerning NZ investors.

How to buy Hewlett Packard Enterprise stock in New Zealand?

Buying Hewlett Packard Enterprise (HPE) shares online is both simple and secure for New Zealand investors, thanks to tightly regulated online brokers. You can choose between two main approaches: traditional spot buying—where you own the actual shares—or trading via contracts for difference (CFDs), which lets you speculate on HPE’s price movements without direct ownership. Spot buying suits long-term investors seeking capital gains and dividends, while CFDs appeal to those interested in leveraged, short-term trading. Each method has its own benefits and fees; you’ll find a detailed broker comparison further down this page to help you choose the right platform for your needs.

Cash (Spot) Buying

When you buy HPE shares for cash on a regulated platform, you become a direct shareholder, eligible for any future dividends and voting rights. In New Zealand, online brokers typically charge a fixed fee per buy or sell order—commonly NZ$3–NZ$15—plus a small exchange rate margin, as HPE is NYSE-listed in US dollars.

Example

Let’s assume HPE’s current price is USD 17.65 per share (NZD ~28.80 at 1 USD = 1.63 NZD). If you invest NZ$1,000 (roughly USD 613), you could buy about 34 shares, with an estimated NZ$5 brokerage fee included.

• Gain scenario: If HPE’s share price rises by 10%, your investment value becomes NZ$1,100.
• Result: That’s a NZ$100 gross gain—a +10% return on your initial investment (before exchange rate effects and taxes).

Trading via CFDs

CFDs (Contracts for Difference) offer an alternative way to speculate on HPE’s share price, without owning the underlying shares. With CFDs, you’ll pay a “spread” (the difference between buy and sell price) and potentially overnight financing fees for leveraged positions held over more than a day. CFDs allow you to open trades with leverage—amplifying both gains and losses.

Example

Suppose you open a CFD position in HPE with NZ$1,000 and use 5x leverage, giving you NZ$5,000 exposure to the stock’s price movement.

• Gain scenario: If HPE’s share price increases by 8%, you gain 8% × 5 = 40%.
• Result: That’s a NZ$400 gain on your NZ$1,000 stake (excluding spreads and any overnight/intermediary fees).

Final Advice

Before you invest, it’s essential to compare brokers’ fees, currency conversion charges, and trading conditions—these can all affect your net returns. Some platforms suit straightforward spot buying, while others offer competitive leverage or advanced trading tools for CFDs. Your choice ultimately depends on your investment goals, risk appetite, and preferences for ownership or trading flexibility. For a clear comparison of reputable NZ brokers offering both options, scroll down to the broker comparison table below.

Our 7 tips for buying Hewlett Packard Enterprise stock

The latest news about Hewlett Packard Enterprise

The latest technical signals for HPE remain positive, with strong short-term buy recommendations dominating.
Recent trading data as of May 30, 2025, indicates multiple favorable technical indicators for Hewlett Packard Enterprise (HPE), including a MACD and Williams %R both giving buy signals, and all short- and medium-term moving averages (5, 20, 50 days) pointing to a bullish trend. The Relative Strength Index (RSI) is at 59.24, which is neutral but leans toward growth. Technical sentiment is globally bullish, with 12 up signals, 6 neutral, and just 4 bearish, supporting confidence among market professionals.

HPE’s Q1 2025 results show robust revenue growth, notably in core server and hybrid cloud services.
The latest earnings report revealed HPE achieved a 16% year-on-year increase in total revenue, with outstanding 29% growth in servers and a healthy 10% gain in hybrid cloud—both strategic areas for the company’s global expansion, including Asia-Pacific, where New Zealand enterprises are increasingly embracing digital transformation. Though margins faced some pressure, topline performance met market expectations and further solidified HPE’s strong positioning in high-growth IT infrastructure segments relevant to NZ’s digital modernization agenda.

Strategic integration with NVIDIA and ongoing expansion of cloud and AI networks underpin HPE’s innovation leadership.
HPE recently reinforced its strategic partnership with NVIDIA by advancing the AI Factory portfolio and released next-generation offerings in private cloud and distributed networking through Aruba. These moves align with New Zealand’s growing investment in artificial intelligence and cloud solutions across sectors such as government, education, and primary industries, helping position HPE as a supplier of choice for Kiwi organizations seeking edge-to-cloud and AI-driven digital infrastructure.

The entry of Elliott Management as a major shareholder strengthens the outlook for shareholder value creation at HPE.
Elliott Management, a renowned activist investor, has become one of the top five shareholders by acquiring over $1.5 billion in HPE stock. This significant stake is widely viewed as a positive signal, as Elliott often pushes for strategic, operational, or capital allocation improvements that can lead to enhanced shareholder returns. Their involvement may benefit New Zealand investors who gain exposure to HPE either directly or through KiwiSaver international equity funds.

The consensus among global analysts, based on recent data, is a strong buy rating and double-digit upside potential for HPE.
Analyst consensus gives HPE a target price of US$21.50, indicating potential upside of more than 21% from current levels and reflecting confidence in HPE’s growth prospects, innovation agenda, and market opportunities. This positive outlook is particularly relevant for New Zealand institutional and retail investors seeking quality exposure in the technology sector, with HPE’s dividend yield at 2.95% also offering a compelling income stream in the current global equity landscape.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.

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