WallStSmart

Digi International Inc (DGII)vsHewlett Packard Enterprise Co (HPE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Hewlett Packard Enterprise Co generates 8171% more annual revenue ($41.87B vs $506.21M). DGII leads profitability with a 9.6% profit margin vs 6.7%. HPE appears more attractively valued with a PEG of 0.49. HPE earns a higher WallStSmart Score of 72/100 (B).

DGII

Buy

64

out of 100

Grade: C+

Growth: 7.3Profit: 6.0Value: 4.0Quality: 6.5
Piotroski: 3/9Altman Z: 2.44

HPE

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 5.0Value: 6.3Quality: 4.0
Piotroski: 3/9Altman Z: 0.69
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DGIISignificantly Overvalued (-57.6%)

Margin of Safety

-57.6%

Fair Value

$29.44

Current Price

$72.74

$43.30 premium

UndervaluedFair: $29.44Overvalued

Intrinsic value data unavailable for HPE.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DGII4 strengths · Avg: 8.3/10
Debt/EquityHealth
0.179/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.838/10

Growing faster than its price suggests

Revenue GrowthGrowth
29.0%8/10

Revenue surging 29.0% year-over-year

EPS GrowthGrowth
48.1%8/10

Earnings expanding 48.1% YoY

HPE4 strengths · Avg: 9.8/10
PEG RatioValuation
0.4910/10

Growing faster than its price suggests

Revenue GrowthGrowth
33.7%10/10

Revenue surging 33.7% year-over-year

EPS GrowthGrowth
410.2%10/10

Earnings expanding 410.2% YoY

Market CapQuality
$80.66B9/10

Large-cap with strong market position

Areas to Watch

DGII3 concerns · Avg: 2.7/10
Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
57.3x2/10

Premium valuation, high expectations priced in

HPE4 concerns · Avg: 3.0/10
P/E RatioValuation
31.3x4/10

Premium valuation, high expectations priced in

Profit MarginProfitability
6.7%3/10

6.7% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
0.692/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : DGII

The strongest argument for DGII centers on Debt/Equity, PEG Ratio, Revenue Growth. Revenue growth of 29.0% demonstrates continued momentum. PEG of 0.83 suggests the stock is reasonably priced for its growth.

Bull Case : HPE

The strongest argument for HPE centers on PEG Ratio, Revenue Growth, EPS Growth. Revenue growth of 33.7% demonstrates continued momentum. PEG of 0.49 suggests the stock is reasonably priced for its growth.

Bear Case : DGII

The primary concerns for DGII are Return on Equity, Piotroski F-Score, P/E Ratio. A P/E of 57.3x leaves little room for execution misses.

Bear Case : HPE

The primary concerns for HPE are P/E Ratio, Profit Margin, Piotroski F-Score.

Key Dynamics to Monitor

DGII profiles as a growth stock while HPE is a hypergrowth play — different risk/reward profiles.

HPE carries more volatility with a beta of 1.44 — expect wider price swings.

HPE is growing revenue faster at 33.7% — sustainability is the question.

HPE generates stronger free cash flow (896M), providing more financial flexibility.

Bottom Line

HPE scores higher overall (72/100 vs 64/100) and 33.7% 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.

Digi International Inc

TECHNOLOGY · COMMUNICATION EQUIPMENT · USA

Digi International Inc. provides mission-critical and enterprise Internet of Things (IoT) products, services and solutions in the United States and internationally. The company is headquartered in Hopkins, Minnesota.

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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.

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