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Hewlett Packard Enterprise (HPE) - Get Hewlett Packard Enterprise Co. Report is rising after analysts at Bank of America issued a double upgrade on the San Jose, Calif., IT-services company, to buy from underperform. 

Bank of America analyst Wamsi Mohan sees "several underlying business trends improving," leading to improving cash flow, stable earnings and strong capital returns, among other positive trends. 

HPE is shifting to higher-growth segments of the market, according to Mohan, and now has "a better growth profile" that features a long-term positive mix shift and margin improvement. 

The firm also raised Hewlett Packard's price target to $19 from $13, representing a potential upside of 23% from the stock's Friday closing price.

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HPE shares are trading up 4% to $15.96 on Monday. 

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