Analyst Simon Leopold of Raymond James maintained a Buy rating on Hewlett Packard Enterprise, with a price target of $29.00.
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Simon Leopold has given his Buy rating due to a combination of factors tied to valuation, profitability focus, and segment-level dynamics. He views HPE shares as attractively priced versus major peers, with a forward P/E multiple below 10x and an appealing risk‑reward skew when considering bull and bear scenarios, even though the stock may lack strong near‑term catalysts.
He acknowledges that growth in Cloud & AI and Networking has underwhelmed prior expectations, partly because management prioritizes margins over aggressive AI market share, yet he still anticipates mid‑single‑digit to double‑digit growth potential as pricing actions, AI‑related networking, and refined segment execution play through. His $29 target price, based on an 11x multiple of FY27 earnings and still at a discount to comparable IT vendors, underpins the view that investors can benefit from both multiple support and moderate fundamental upside despite recent estimate trims.
In another report released on April 7, Goldman Sachs also reiterated a Buy rating on the stock with a $29.00 price target.