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Hewlett Packard Enterprise CoHPE -0.73%67 EV-to-EBIT is 38.24 as of Aug. 06, 2026, which is 174% above its 10-year median of 13.94. GuruFocus rates HPE with a GF Score™ of 67/100 and a GF Value™ of $25.11 (Significantly Overvalued). The stock has 12 warning signs investors should review. Among 1,767 Hardware companies, Hewlett Packard Enterprise Co ranks worse than 68.31% on this metric.
Hewlett Packard Enterprise Co (NYSE:HPE) EV-to-EBIT Explanation
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Hewlett Packard Enterprise Co's Enterprise Value for the quarter that ended in Apr. 2026 was $54,086 Mil.
Hewlett Packard Enterprise Co's 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 $2,248 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.
Hewlett Packard Enterprise Co EV-to-EBIT Related Terms
Hewlett Packard Enterprise Co EV-to-EBIT Historical Data
* 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.
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.
Hewlett Packard Enterprise Co's current Enterprise Value is $85,973 Mil.
Hewlett Packard Enterprise Co's 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 $2,248 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.
Hewlett Packard Enterprise Co (HPE) has a EV-to-EBIT of 38.24 as of Aug. 06, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Hewlett Packard Enterprise Co and its competitors. This is 174% above median its historical median of 13.94. Over the past decade, Hewlett Packard Enterprise Co's EV-to-EBIT has ranged from 9.10 to 41.03. According to the industry distribution chart, Hewlett Packard Enterprise Co ranks #1207 out of 1767 companies in the Hardware industry, placing it in the top 68.3%.
Is Hewlett Packard Enterprise Co's EV-to-EBIT too high?
Hewlett Packard Enterprise Co's current EV-to-EBIT of 38.24 is 174% above median its 10-year median of 13.94. Over the past 10 years, this metric has ranged from a low of 9.10 to a high of 41.03. The Hardware industry median EV-to-EBIT is 21.36. Hewlett Packard Enterprise Co's value of 38.24 is 79% above this industry median. Based on the distribution chart, Hewlett Packard Enterprise Co ranks #1207 out of 1767 companies in the Hardware industry, which is below the industry midpoint. Overall, Hewlett Packard Enterprise Co has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Hewlett Packard Enterprise Co's EV-to-EBIT compare to LITE and MSI?
According to the Hardware industry distribution chart, Hewlett Packard Enterprise Co ranks #1207 out of 1767 companies for EV-to-EBIT. This places Hewlett Packard Enterprise Co in the lower half of its industry. The industry median EV-to-EBIT is 21.36. Hewlett Packard Enterprise Co's value of 38.24 is 79% above this benchmark. Historically, Hewlett Packard Enterprise Co's own EV-to-EBIT has ranged from 9.10 to 41.03 over the past decade. While the company's 10-year median is 13.94 vs. the industry median of 21.36, Hewlett Packard Enterprise Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Hardware company?
The median EV-to-EBIT among Hardware companies is 21.36, based on 1,767 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hewlett Packard Enterprise Co's current EV-to-EBIT of 38.24 is 79% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Hewlett Packard Enterprise Co and its competitors. For the Hardware industry, the median EV-to-EBIT is 21.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hewlett Packard Enterprise Co's current EV-to-EBIT is 38.24, which is 174% above median its own 10-year median of 13.94. 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 (HPE) is currently considered Significantly Overvalued. The stock's GF Value™ is $25.11, compared to a current price of $52.83 — trading 110.4% above its estimated fair value. The current EV-to-EBIT is 38.24, which is 174% above median its 10-year median of 13.94 and 79% above the Hardware industry median of 21.36. Hewlett Packard Enterprise Co's overall GF Score™ is 67/100 with 12 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Hewlett Packard Enterprise Co (HPE), the current EV-to-EBIT is 38.24 as of Aug. 06, 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 (HPE) Overvalued in 2026?
Based on GuruFocus' analysis, Hewlett Packard Enterprise Co stock appears to be overvalued.
The current stock price of $52.83 is trading 110.4% above its estimated GF Value™ of $25.11.
GuruFocus considers Hewlett Packard Enterprise Co to be Significantly Overvalued.
Key valuation signals for HPE:
EV-to-EBIT: 38.24 (174% above median its 10-year median of 13.94)
GF Value™: $25.11 vs. price of $52.83 (110.4% above fair value)
Industry Position: 79% above the Hardware median (#1207 of 1767)
No single metric tells the full story. See the HPE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
67GF Score
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