Hewlett Packard Enterprise vs HP Which Performs Better?

Hewlett Packard Enterprise (HPE) and HP Inc. (HP) are two separate entities that emerged following the split of the original Hewlett-Packard company in 2015. While HPE focuses on enterprise technology solutions, HP Inc. is known for its consumer electronics and printing products. When it comes to stocks, HPE has shown more stability and growth potential in recent years compared to HP Inc. Investors should consider various factors such as financial performance, market trends, and strategic outlook when evaluating these two companies' stocks.

Hewlett Packard Enterprise or HP?

When comparing Hewlett Packard Enterprise and HP, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Hewlett Packard Enterprise and HP.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Hewlett Packard Enterprise has a dividend yield of 1.79%, while HP has a dividend yield of 3.19%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Hewlett Packard Enterprise reports a 5-year dividend growth of 3.50% year and a payout ratio of 25.88%. On the other hand, HP reports a 5-year dividend growth of 12.96% year and a payout ratio of 38.74%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Hewlett Packard Enterprise P/E ratio at 11.21 and HP's P/E ratio at 12.09. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Hewlett Packard Enterprise P/B ratio is 1.15 while HP's P/B ratio is 11.34.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Hewlett Packard Enterprise has seen a 5-year revenue growth of 0.11%, while HP's is 0.50%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Hewlett Packard Enterprise's ROE at 11.35% and HP's ROE at -1122.35%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $21.76 for Hewlett Packard Enterprise and $34.26 for HP. Over the past year, Hewlett Packard Enterprise's prices ranged from $14.46 to $24.24, with a yearly change of 67.58%. HP's prices fluctuated between $27.43 and $39.80, with a yearly change of 45.10%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.