Morgan Stanley lowered the firm’s price target on HP Enterprise (HPE) to $24 from $28 and keeps an Overweight rating on the shares. Fiscal Q1 brought focus back to the core business, with gross margins and execution being worse than expected, the analyst tells investors. In order to achieve the firm’s revised price target, the Juniper (JNPR) deal needs to close, both because of accretion potential and the ability to see the multiple expand, the analyst added.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on HPE:
- Wayfair (NYSE:W) Latest to Cut Tech Jobs as Nonfarm Payrolls Show U.S. Jobs Market Cooling
- Morning Movers: Walgreens up after go-private deal, Broadcom jumps on earnings
- HPE Stock Plummets Alongside Analyst Price Target Cuts
- HP Enterprise price target lowered to $20 from $26 at BofA
- Hewlett Packard Enterprise: Buy Rating Backed by Juniper Deal and Earnings Growth Potential