Hewlett Packard Enterprise CoSTU:2HP -0.74%71 Interest Coverage is 11.30 as of Apr. 2026, which is 16% above its 10-year median of 9.71. GuruFocus rates STU:2HP with a GF Score™ of 71/100 and a GF Value™ of €21.46 (Significantly Overvalued). The stock has 12 warning signs investors should review. Among 1,671 Hardware companies, Hewlett Packard Enterprise Co ranks worse than 70.92% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Hewlett Packard Enterprise Co's
Operating Income
for the
three
months ended in Apr. 2026 was €705 Mil. Hewlett Packard Enterprise Co's Interest Expense for the
three
months ended in Apr. 2026 was €-62 Mil.
Hewlett Packard Enterprise Co's interest coverage for the quarter that ended in Apr. 2026 was 11.30.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Hewlett Packard Enterprise Co's Interest Coverage or its related term are showing as below:
STU:2HP'
s Interest Coverage Range Over the Past 10 Years
Min: 5.65 Med: 9.71 Max: 23.48
Current: 5.79
STU:2HP's Interest Coverage is ranked worse than 70.92% of 1671
companies
in the Hardware industry
Industry Median: 13.79
vs STU:2HP: 5.79
Hewlett Packard Enterprise Co (STU:2HP) Interest Coverage Explanation
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Hewlett Packard Enterprise Co Interest Coverage Related Terms
Hewlett Packard Enterprise Co Interest Coverage 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.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
Hewlett Packard Enterprise Co Interest Coverage Chart
STU:2HP vs LITE, MSI, UI: Interest Coverage Comparison
For the Communication Equipment subindustry, Hewlett Packard Enterprise Co's Interest Coverage, along with its competitors' market caps and Interest Coverage 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 Interest Coverage vs Hardware Industry
For the Hardware industry and Technology sector, Hewlett Packard Enterprise Co's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Hewlett Packard Enterprise Co's Interest Coverage falls into.
Hewlett Packard Enterprise Co Interest Coverage Calculation
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* 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 (STU:2HP) has a Interest Coverage of 11.30 as of Apr. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hewlett Packard Enterprise Co and its competitors. This is 16% above median its historical median of 9.71. Over the past decade, Hewlett Packard Enterprise Co's Interest Coverage has ranged from 5.65 to 23.48. According to the industry distribution chart, Hewlett Packard Enterprise Co ranks #1185 out of 1671 companies in the Hardware industry, placing it in the top 70.9%.
Is Hewlett Packard Enterprise Co's Interest Coverage too high?
Hewlett Packard Enterprise Co's current Interest Coverage of 11.30 is 16% above median its 10-year median of 9.71. Over the past 10 years, this metric has ranged from a low of 5.65 to a high of 23.48. The Hardware industry median Interest Coverage is 13.79. Hewlett Packard Enterprise Co's value of 11.30 is 18.1% below this industry median. Based on the distribution chart, Hewlett Packard Enterprise Co ranks #1185 out of 1671 companies in the Hardware industry, which is below the industry midpoint. 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 Interest Coverage compare to LITE and MSI?
According to the Hardware industry distribution chart, Hewlett Packard Enterprise Co ranks #1185 out of 1671 companies for Interest Coverage. This places Hewlett Packard Enterprise Co in the lower half of its industry. The industry median Interest Coverage is 13.79. Hewlett Packard Enterprise Co's value of 11.30 is 18.1% below this benchmark. Historically, Hewlett Packard Enterprise Co's own Interest Coverage has ranged from 5.65 to 23.48 over the past decade. While the company's 10-year median is 9.71 vs. the industry median of 13.79, Hewlett Packard Enterprise Co has consistently been below 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 Interest Coverage for a Hardware company?
The median Interest Coverage among Hardware companies is 13.79, based on 1,671 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Hewlett Packard Enterprise Co's current Interest Coverage of 11.30 is 18.1% below 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 Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hewlett Packard Enterprise Co and its competitors. For the Hardware industry, the median Interest Coverage is 13.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hewlett Packard Enterprise Co's current Interest Coverage is 11.30, which is 16% above median its own 10-year median of 9.71. 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 (STU:2HP) is currently considered Significantly Overvalued. The stock's GF Value™ is €21.46, compared to a current price of €42.77 — trading 99.3% above its estimated fair value. The current Interest Coverage is 11.30, which is 16% above median its 10-year median of 9.71 and 18.1% below the Hardware industry median of 13.79. 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 Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Hewlett Packard Enterprise Co (STU:2HP), the current Interest Coverage is 11.30 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 (STU:2HP) Overvalued in 2026?
Based on GuruFocus' analysis, Hewlett Packard Enterprise Co stock appears to be overvalued.
The current stock price of €42.77 is trading 99.3% above its estimated GF Value™ of €21.46.
GuruFocus considers Hewlett Packard Enterprise Co to be Significantly Overvalued.
Key valuation signals for STU:2HP:
Interest Coverage: 11.30 (16% above median its 10-year median of 9.71)
GF Value™: €21.46 vs. price of €42.77 (99.3% above fair value)
Industry Position: 18.1% below the Hardware median (#1185 of 1671)
No single metric tells the full story. See the STU:2HP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Hewlett Packard Enterprise Co Business Description
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 STU:2HP
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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