Evercore ISI Removes HPE From Tactical Outperform List, Keeps Long-Term Bull Case

Hewlett Packard Enterprise Company (NYSE:HPE) is included among the 13 Top Tech Stocks Paying Consistent Dividends.

On December 11, Evercore ISI removed Hewlett Packard Enterprise Company (NYSE:HPE) from the firm’s “Tactical Outperform” list after the company released its October-end quarterly results last week. Though there was “some noise” around the fiscal Q4 numbers and January quarter revenue guidance that came in below the Street, Evercore said its long-term bull thesis remains “largely intact.” Out-year estimates were left mostly unchanged. The firm continues to rate the stock Outperform with a $28 price target.

Hewlett Packard Enterprise Company (NYSE:HPE) reported fiscal Q4 2025 earnings on December 4. It was a record quarter marked by profitable growth and tight execution. Revenue reached $9.7 billion, up 14% year over year. Non-GAAP operating profit rose 26%.

Stronger margins flowed through to cash generation. Free cash flow came in at $1.9 billion for the quarter, above expectations. That wrapped up what management described as a solid fiscal 2025. The company also pointed to a sharp pickup in orders late in the quarter. That’s usually a good sign. It suggests demand under the hood remains healthy, even if headline numbers create debate.

Based on that momentum, Hewlett Packard Enterprise Company (NYSE:HPE) raised its fiscal 2026 non-GAAP diluted EPS guidance. It also lifted the midpoint of its free cash flow outlook. CEO Antonio Neri confirmed the planned sale of HPE’s remaining 19% stake in H3C for about $1.4 billion. The deal is expected to close in the first half of 2026. Proceeds are slated to support plans to bring net leverage down to around 2x by the end of fiscal 2027.

Neri also said the company has completed the acquisition of Juniper Networks. The deal strengthens HPE’s position in networking and aims to create a new industry leader. Integration work is well underway, with unified teams and technologies already in place. Feedback from employees, customers, and partners has been positive so far.

Hewlett Packard Enterprise Company (NYSE:HPE) is a global IT company focused on edge-to-cloud solutions. Its portfolio spans servers, storage, networking, software, and services designed to help businesses run and scale their operations.

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