Current Analysis: Hewlett Packard Enterprise
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Hewlett Packard Enterprise (HPE) is an information technology vendor that provides hardware and software to enterprises.
Its primary product lines are computer servers, storage arrays, and networking equipment; it also has a high-performance computing business.
HPE’s stated goal is to be a complete edge-to-cloud company, and its portfolio enables hybrid clouds and hyper-converged infrastructure.
It uses a primarily outsourced manufacturing model and employs 60,000 people worldwide.
The company was founded in 1939 and is headquartered in Spring, Texas.
Three key data points gauge Hewlett Packard Enterprise Co or any dividend-paying firm.
The key three are:
(1) Price
(2) Dividends
(3) Returns
Those three basic keys best tell whether any company has made, is making, and will make money.
HPE Price
Over the past year, HPE's share price increased 1.5% from $16.15 to $16.38 as of Tuesday’s market close.
If HPE shares trade in the range of $14.00 to $20.00 this next year, its recent $16.38 share price might rise to $17.70 by next year. Of course, the HPE price could drop about the same $1.32 estimated amount or more.
My annual upside estimate of $1.32 however, is in line with the median of one-year target estimates from 20 analysts tracking HPE for brokers.
HPE Dividend
Hewlett Packard Enterprise Co has paid quarterly dividends since January 6, 2016. HPE’s most recently declared Q dividend, is payable paid January 11th to shareholders of record on December 12th. The forward-looking $0.52 annual dividend yields 3.17% at Tuesday’s $16.38 share price.
HPE Returns
To put it all together, add the annual dividend of $0.52 to the price upside of $1.32 to find a $1.84 gross gain.
At Tuesday’s $16.38 share price, a little under $1000 would buy 61 shares.
A $10 broker fee (if charged), paid half at purchase and half at sale, might cost us about $0.16 per share.
Subtracting that likely $0.16 brokerage cost from the $1.84 estimated gross gain per share produces a net gain of $1.68 X 61 shares = $102.48 for a 10.2% estimated net gain.
You might choose to pounce on Hewlett Packard Enterprise Co It is an 84-year-old Texas communication equipment and services company. Furthermore, the estimated $31.70 of dividend income from $1k invested is nearly 2 times greater than Monday’s HPE $16.38 single share price.
The exact track of Hewlett Packard Enterprise Co.'s ongoing future prices and dividends are yet to be known.
Remember the true value of any stock is best realized through personal ownership of shares.
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Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a ...
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