HPE vs HPQ vs DELL vs IBM

For growth investors, Dell Technologies Inc.

(DELL) is the stronger pick with 18. 8% revenue growth year-over-year, versus 3. 2% for HP Inc. (HPQ). HP Inc. (HPQ) offers the better valuation at 7. 9x trailing P/E (7. 3x forward), making it the more compelling value choice. Analysts rate Dell Technologies Inc. (DELL) a "Buy" — based on 43 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, HP Inc.

(HPQ) is the cheapest at 7. 9x versus International Business Machines Corporation at 20. 7x. On forward P/E, HP Inc. is actually cheaper at 7. 3x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: HP Inc. wins at 1. 27x versus International Business Machines Corporation's 1. 50x — a reasonable growth-adjusted valuation.

Over the past 5 years, Dell Technologies Inc.

(DELL) delivered a total return of +364. 0%, compared to -26. 1% for HP Inc. (HPQ). Over 10 years, the gap is even starker: DELL returned +1868% versus IBM's +107. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), HP Inc.

(HPQ) is the lower-risk stock at 1. 02β versus Dell Technologies Inc. 's 1. 62β — meaning DELL is approximately 59% more volatile than HPQ relative to the S&P 500. On balance sheet safety, Hewlett Packard Enterprise Company (HPE) carries a lower debt/equity ratio of 90% versus 2% for International Business Machines Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Dell Technologies Inc.

(DELL) is pulling ahead at 18. 8% versus 3. 2% for HP Inc. (HPQ). On earnings-per-share growth, the picture is similar: International Business Machines Corporation grew EPS 73. 7% year-over-year, compared to -102. 3% for Hewlett Packard Enterprise Company. Over a 3-year CAGR, HPE leads at 6. 9% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

International Business Machines Corporation (IBM) is the more profitable company, earning 15.

7% net margin versus 0. 2% for Hewlett Packard Enterprise Company — meaning it keeps 15. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: IBM leads at 15. 3% versus 4. 8% for HPE. At the gross margin level — before operating expenses — IBM leads at 59. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, HP Inc. (HPQ) is the more undervalued stock at a PEG of 1. 27x versus International Business Machines Corporation's 1. 50x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, HP Inc. (HPQ) trades at 7. 3x forward P/E versus 23. 1x for Dell Technologies Inc. — 15. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for IBM: 33. 9% to $309. 64.

In this comparison, HPQ (5.

4% yield), IBM (2. 9% yield), HPE (2. 0% yield) pay a dividend. DELL does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, HP Inc.

(HPQ) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 02), 5. 4% yield, +157. 9% 10Y return). Hewlett Packard Enterprise Company (HPE) carries a higher beta of 1. 62 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (HPQ: +157. 9%, HPE: +269. 0%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: HPE is a mid-cap quality compounder stock; HPQ is a mid-cap deep-value stock; DELL is a mid-cap high-growth stock; IBM is a large-cap quality compounder stock. HPE, HPQ, IBM pay a dividend while DELL does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.