Hewlett Packard Enterprise Co (FRA:2HP) EBIT: €1,922 Mil (TTM As of Apr. 2026)


FRA:2HP Hewlett Packard Enterprise Co FRA:2HP
71 GF Score
Price €43.69
GF Value €21.92
Valuation Significantly Overvalued
! 12 Warning Signs
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What is Hewlett Packard Enterprise Co EBIT?

Hewlett Packard Enterprise Co FRA:2HP +0.16% 71 EBIT is €1,922 Mil as of Apr. 2026. GuruFocus rates FRA:2HP with a GF Score™ of 71/100 and a GF Value™ of €21.92 (Significantly Overvalued). The stock has 12 warning signs investors should review.

Hewlett Packard Enterprise Co's earnings before interest and taxes (EBIT) for the three months ended in Apr. 2026 was €705 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Apr. 2026 was €1,922 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Hewlett Packard Enterprise Co's annualized ROC % for the quarter that ended in Apr. 2026 was 4.84%. Hewlett Packard Enterprise Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 57.49%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Hewlett Packard Enterprise Co's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 2.71%.


Hewlett Packard Enterprise Co  (FRA:2HP) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Hewlett Packard Enterprise Co's annualized ROC % for the quarter that ended in Apr. 2026 is calculated as:

ROC % (Q: Apr. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Jan. 2026 ) + Invested Capital (Q: Apr. 2026 ))/ count )
=2821.5 * ( 1 - 10.73% )/( (52190.979 + 51932.7)/ 2 )
=2518.75305/52061.8395
=4.84 %

where

Invested Capital(Q: Jan. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=64478.568 - 11567.643 - ( 4119.691 - max(0, 20727.807 - 21447.753+4119.691))
=52190.979

Invested Capital(Q: Apr. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=67982.76 - 14011.74 - ( 4524.66 - max(0, 23063.625 - 25101.945+4524.66))
=51932.7

Note: The Operating Income data used here is four times the quarterly (Apr. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Hewlett Packard Enterprise Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Apr. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Apr. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Jan. 2026  Q: Apr. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=2821.5/( ( (5030.261 + max(-3641.429, 0)) + (4785.435 + max(-3385.8, 0)) )/ 2 )
=2821.5/( ( 5030.261 + 4785.435 )/ 2 )
=2821.5/4907.848
=57.49 %

where Working Capital is:

Working Capital(Q: Jan. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(3894.176 + 5882.963 + 3985.233) - (11567.643 + 4666.033 + 1170.125)
=-3641.429

Working Capital(Q: Apr. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(5060.745 + 7724.07 + 4320.315) - (14011.74 + 4805.955 + 1673.235)
=-3385.8

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Apr. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Hewlett Packard Enterprise Co's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Apr. 2026 )
=1922.18/70806.104
=2.71 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Hewlett Packard Enterprise Co EBIT Related Terms


Hewlett Packard Enterprise Co EBIT Historical Data

* Premium members only.

The historical data trend for Hewlett Packard Enterprise Co's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Hewlett Packard Enterprise Co EBIT Chart

Hewlett Packard Enterprise Co Annual Data
Trend Oct16 Oct17 Oct18 Oct19 Oct20 Oct21 Oct22 Oct23 Oct24 Oct25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1,822.27 2,260.41 2,312.57 2,289.49 1,412.20

Hewlett Packard Enterprise Co Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 261.66 366.80 350.47 499.54 705.38

FRA:2HP vs LITE, MSI, UI: EBIT Comparison

For the Communication Equipment subindustry, Hewlett Packard Enterprise Co's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Hewlett Packard Enterprise Co EV-to-EBIT vs Hardware Industry

For the Hardware industry and Technology sector, Hewlett Packard Enterprise Co's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Hewlett Packard Enterprise Co's EV-to-EBIT falls into.


FRA:2HP
71GF Score
Hewlett Packard Enterprise Co FRA:2HP
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Hewlett Packard Enterprise Co EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,922 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of €1,922 Mil mean?
Hewlett Packard Enterprise Co (FRA:2HP) has a EBIT of €1,922 Mil as of Apr. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Hewlett Packard Enterprise Co.
Is Hewlett Packard Enterprise Co's EBIT too high?
Hewlett Packard Enterprise Co's current EBIT is €1,922 Mil. Overall, Hewlett Packard Enterprise Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hewlett Packard Enterprise Co's EBIT compare to LITE and MSI?
Hewlett Packard Enterprise Co's EBIT of €1,922 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Hardware company?
A good EBIT depends on the Hardware industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Hewlett Packard Enterprise Co. Hewlett Packard Enterprise Co's current EBIT is €1,922 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hewlett Packard Enterprise Co stock overvalued right now?
Based on GuruFocus' analysis, Hewlett Packard Enterprise Co (FRA:2HP) is currently considered Significantly Overvalued. The stock's GF Value™ is €21.92, compared to a current price of €43.69 — trading 99.3% above its estimated fair value. The current EBIT is €1,922 Mil. Hewlett Packard Enterprise Co's overall GF Score™ is 71/100 with 12 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Hewlett Packard Enterprise Co (FRA:2HP), the current EBIT is €1,922 Mil as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Hewlett Packard Enterprise Co (FRA:2HP) Overvalued in 2026?

Based on GuruFocus' analysis, Hewlett Packard Enterprise Co stock appears to be overvalued. The current stock price of €43.69 is trading 99.3% above its estimated GF Value™ of €21.92. GuruFocus considers Hewlett Packard Enterprise Co to be Significantly Overvalued.

Key valuation signals for FRA:2HP:

  • EBIT: €1,922 Mil
  • GF Value™: €21.92 vs. price of €43.69 (99.3% above fair value)
  • GF Score™: 71/100 with 12 warning signs

No single metric tells the full story. See the FRA:2HP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Hewlett Packard Enterprise Co Business Description

Address 1701 East Mossy Oaks Road, Spring, TX, USA, 77389
Hewlett Packard Enterprise is an information technology vendor that provides hardware and software to enterprises. Its primary product lines are compute 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. Its portfolio enables hybrid clouds and hyperconverged infrastructure.
71GF Score

Get the complete analysis for FRA:2HP

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€43.69
Price
€21.92
GF Value