Hewlett Packard Enterprise Co (HPE)vsLumentum Holdings Inc (LITE)
HPE
Hewlett Packard Enterprise Co
$48.54
-1.16%
TECHNOLOGY · Cap: $57.14B
LITE
Lumentum Holdings Inc
$802.01
+2.07%
TECHNOLOGY · Cap: $61.13B
Smart Verdict
WallStSmart Research — data-driven comparison
Hewlett Packard Enterprise Co generates 1459% more annual revenue ($38.79B vs $2.49B). LITE leads profitability with a 17.7% profit margin vs 4.0%. LITE appears more attractively valued with a PEG of 0.63. LITE earns a higher WallStSmart Score of 74/100 (B).
HPE
Buy59
out of 100
Grade: C
LITE
Strong Buy74
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 40.0% year-over-year
Large-cap with strong market position
Growing faster than its price suggests
Reasonable price relative to book value
Revenue surging 90.1% year-over-year
Earnings expanding 71.1% YoY
Large-cap with strong market position
Growing faster than its price suggests
Strong operational efficiency at 21.8%
Areas to Watch
ROE of 6.0% — below average capital efficiency
4.0% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 19.3x book value
Elevated debt levels
Premium valuation, high expectations priced in
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : HPE
The strongest argument for HPE centers on Revenue Growth, Market Cap, PEG Ratio. Revenue growth of 40.0% demonstrates continued momentum. PEG of 0.85 suggests the stock is reasonably priced for its growth.
Bull Case : LITE
The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Profitability is solid with margins at 17.7% and operating margin at 21.8%. Revenue growth of 90.1% demonstrates continued momentum.
Bear Case : HPE
The primary concerns for HPE are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 40.3x leaves little room for execution misses. Thin 4.0% margins leave little buffer for downturns.
Bear Case : LITE
The primary concerns for LITE are Price/Book, Debt/Equity, P/E Ratio. A P/E of 138.8x leaves little room for execution misses.
Key Dynamics to Monitor
HPE profiles as a hypergrowth stock while LITE is a growth play — different risk/reward profiles.
LITE carries more volatility with a beta of 1.48 — expect wider price swings.
LITE is growing revenue faster at 90.1% — sustainability is the question.
HPE generates stronger free cash flow (827M), providing more financial flexibility.
Bottom Line
LITE scores higher overall (74/100 vs 59/100), backed by strong 17.7% margins and 90.1% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Hewlett Packard Enterprise Co
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
The Hewlett Packard Enterprise Company (HPE) is an American multinational enterprise information technology company based in Houston, Texas, United States.
Lumentum Holdings Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.
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