Financial Contrast: Eastman Kodak (NYSE:KODK) and Hewlett Packard Enterprise (NYSE:HPE)

Eastman Kodak (NYSE:KODK) and Hewlett Packard Enterprise (NYSE:HPE) are both technology companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, analyst recommendations, profitability, institutional ownership, valuation, risk and dividends.

Earnings and Valuation

This table compares Eastman Kodak and Hewlett Packard Enterprise”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eastman Kodak	$1.07 billion	0.79	-$128.00 million	($1.13)	-7.60
Hewlett Packard Enterprise	$34.30 billion	1.95	$57.00 million	$1.92	26.21

Hewlett Packard Enterprise has higher revenue and earnings than Eastman Kodak. Eastman Kodak is trading at a lower price-to-earnings ratio than Hewlett Packard Enterprise, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Eastman Kodak has a beta of 1.64, suggesting that its stock price is 64% more volatile than the S&P 500. Comparatively, Hewlett Packard Enterprise has a beta of 1.46, suggesting that its stock price is 46% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Eastman Kodak and Hewlett Packard Enterprise, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eastman Kodak	1	1	0	0	1.50
Hewlett Packard Enterprise	0	8	10	2	2.70

Hewlett Packard Enterprise has a consensus price target of $65.44, suggesting a potential upside of 30.03%. Given Hewlett Packard Enterprise’s stronger consensus rating and higher probable upside, analysts plainly believe Hewlett Packard Enterprise is more favorable than Eastman Kodak.

Institutional & Insider Ownership

33.6% of Eastman Kodak shares are held by institutional investors. Comparatively, 80.8% of Hewlett Packard Enterprise shares are held by institutional investors. 21.3% of Eastman Kodak shares are held by company insiders. Comparatively, 0.4% of Hewlett Packard Enterprise shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Eastman Kodak and Hewlett Packard Enterprise’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eastman Kodak	-7.53%	-13.81%	-5.51%
Hewlett Packard Enterprise	6.60%	15.50%	5.00%

Summary

Hewlett Packard Enterprise beats Eastman Kodak on 12 of the 14 factors compared between the two stocks.

About Eastman Kodak

Eastman Kodak Company is an imaging and materials science company with roots in the photography business founded by George Eastman in the late 19th century. While Kodak became widely known for cameras and photographic film, its business today also serves commercial printing and industrial markets. Kodak supplies printing plates, digital printing equipment, workflow software and related services to the graphic communications industry. It also makes photographic and motion picture film, photographic chemicals, and specialty materials and chemicals for commercial and industrial uses.

About Hewlett Packard Enterprise

Hewlett Packard Enterprise (HPE) is a global information technology company that provides products and services for businesses, governments and other organizations. Its offerings span servers and computing systems, data storage, networking, hybrid cloud, artificial intelligence and edge computing. HPE sells systems such as HPE ProLiant servers and HPE Alletra storage, along with networking products through HPE Aruba Networking. Its HPE GreenLake platform provides cloud and IT services through a flexible, consumption-based model.