HP (NYSE:HPQ) Updates Q1 Earnings Guidance

HP (NYSE:HPQ) updated its first quarter earnings guidance on Tuesday. The company provided earnings per share (EPS) guidance of $0.70-0.76 for the period, compared to the consensus estimate of $0.85. HP also updated its FY 2025 guidance to 3.450-3.750 EPS.

HP Trading Down 0.6 %

Shares of HP stock opened at $39.08 on Wednesday. HP has a 1 year low of $27.42 and a 1 year high of $39.79. The company has a market cap of $37.66 billion, a P/E ratio of 13.71, a P/E/G ratio of 2.70 and a beta of 1.07. The stock has a 50-day moving average price of $36.56 and a 200 day moving average price of $35.53.

HP (NYSE:HPQ) last posted its quarterly earnings results on Tuesday, November 26th. The computer maker reported $0.93 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.93. HP had a net margin of 5.33% and a negative return on equity of 266.37%. The business had revenue of $14.06 billion during the quarter, compared to analyst estimates of $13.99 billion. During the same period in the prior year, the firm earned $0.90 earnings per share. The firm’s revenue was up 1.7% compared to the same quarter last year. On average, equities analysts forecast that HP will post 3.39 earnings per share for the current fiscal year.

HP declared that its board has authorized a share buyback program on Wednesday, August 28th that authorizes the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization authorizes the computer maker to purchase up to 28.9% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the stock. Morgan Stanley cut their price objective on shares of HP from $37.00 to $36.00 and set an “equal weight” rating on the stock in a research report on Thursday, August 29th. UBS Group raised their price target on shares of HP from $34.00 to $37.00 and gave the company a “neutral” rating in a report on Thursday, August 29th. JPMorgan Chase & Co. decreased their price objective on shares of HP from $42.00 to $41.00 and set an “overweight” rating for the company in a report on Wednesday, November 20th. Barclays reduced their price target on HP from $33.00 to $32.00 and set an “equal weight” rating for the company in a research report on Thursday, August 29th. Finally, Citigroup lowered HP from a “buy” rating to a “neutral” rating and set a $37.00 price objective on the stock. in a report on Tuesday, October 1st. One analyst has rated the stock with a sell rating, seven have issued a hold rating and four have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $35.45.

Insider Activity at HP

In related news, CEO Enrique Lores sold 211,501 shares of the business’s stock in a transaction on Thursday, September 12th. The shares were sold at an average price of $33.16, for a total transaction of $7,013,373.16. Following the transaction, the chief executive officer now owns 3 shares of the company’s stock, valued at approximately $99.48. The trade was a 100.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. 0.41% of the stock is owned by corporate insiders.

About HP

HP Inc provides products, technologies, software, solutions, and services to individual consumers, small- and medium-sized businesses, and large enterprises, including customers in the government, health, and education sectors worldwide. It operates through Personal Systems and Printing segments. The Personal Systems segment offers commercial personal computers (PCs), consumer PCs, workstations, thin clients, commercial tablets and mobility devices, retail point-of-sale systems, displays and other related accessories, software, support, and services for the commercial and consumer markets.