WallStSmart

Hewlett Packard Enterprise Co (HPE)vsSonos Inc (SONO)

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Smart Verdict

WallStSmart Research — data-driven comparison

Hewlett Packard Enterprise Co generates 2709% more annual revenue ($41.87B vs $1.49B). HPE leads profitability with a 6.7% profit margin vs 3.8%. HPE trades at a lower P/E of 28.9x. HPE earns a higher WallStSmart Score of 72/100 (B).

HPE

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 5.0Value: 7.0Quality: 4.0
Piotroski: 3/9Altman Z: 0.69

SONO

Hold

47

out of 100

Grade: D+

Growth: 6.0Profit: 4.5Value: 3.7Quality: 7.0
Piotroski: 3/9Altman Z: 2.04
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for HPE.

SONOSignificantly Overvalued (-32.2%)

Margin of Safety

-32.2%

Fair Value

$12.48

Current Price

$17.75

$5.27 premium

UndervaluedFair: $12.48Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HPE5 strengths · Avg: 9.4/10
PEG RatioValuation
0.5010/10

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
$77.83B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

SONO2 strengths · Avg: 9.5/10
EPS GrowthGrowth
87.5%10/10

Earnings expanding 87.5% YoY

Debt/EquityHealth
0.129/10

Conservative balance sheet, low leverage

Areas to Watch

HPE4 concerns · Avg: 3.0/10
P/E RatioValuation
28.9x4/10

Moderate valuation

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

SONO4 concerns · Avg: 3.3/10
P/E RatioValuation
38.5x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
6.2%3/10

ROE of 6.2% — below average capital efficiency

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Operating MarginProfitability
4.4%3/10

Operating margin of 4.4%

Comparative Analysis Report

WallStSmart Research

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 0.50 suggests the stock is reasonably priced for its growth.

Bull Case : SONO

The strongest argument for SONO centers on EPS Growth, Debt/Equity.

Bear Case : HPE

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

Bear Case : SONO

The primary concerns for SONO are P/E Ratio, Return on Equity, Profit Margin. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

HPE profiles as a hypergrowth stock while SONO is a value play — different risk/reward profiles.

SONO carries more volatility with a beta of 1.88 — 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 47/100) and 33.7% revenue growth. Both earn "Strong Buy" and "Hold" 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.

Sonos Inc

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sonos, Inc. designs, develops, manufactures, and sells multi-room audio products in the Americas, Europe, the Middle East, Africa, and Asia Pacific. The company is headquartered in Santa Barbara, California.

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