HP (NYSE:HPQ) Releases FY25 Earnings Guidance

HP (NYSE:HPQ) issued an update on its FY25 earnings guidance on Tuesday morning. The company provided earnings per share guidance of $3.45-3.75 for the period, compared to the consensus earnings per share estimate of $3.61. HP also updated its Q1 guidance to $0.70-0.76 EPS.

HP Stock Performance

Shares of HP stock traded down $0.22 during trading on Tuesday, reaching $39.08. 11,786,351 shares of the company’s stock were exchanged, compared to its average volume of 7,759,184. 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 13.79, a PEG ratio of 2.62 and a beta of 1.07. The firm’s 50-day moving average price is $36.47 and its 200 day moving average price is $35.46.

HP (NYSE:HPQ) last issued its earnings results on Wednesday, August 28th. The computer maker reported $0.83 EPS for the quarter, missing the consensus estimate of $0.86 by ($0.03). The business had revenue of $13.52 billion for the quarter, compared to analyst estimates of $13.37 billion. HP had a negative return on equity of 266.37% and a net margin of 5.33%. The firm’s revenue was up 2.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.86 EPS. As a group, equities research analysts predict that HP will post 3.39 EPS for the current year.

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

Wall Street Analyst Weigh In

HPQ has been the subject of a number of research reports. Loop Capital dropped their price target on HP from $37.00 to $35.00 and set a “hold” rating for the company in a research note on Thursday, September 5th. Bank of America cut HP from a “buy” rating to a “neutral” rating and set a $37.00 price target on the stock. in a report on Friday, September 27th. JPMorgan Chase & Co. dropped 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. Citigroup lowered shares of HP from a “buy” rating to a “neutral” rating and set a $37.00 target price on the stock. in a report on Tuesday, October 1st. Finally, Barclays dropped their price target on shares of HP from $33.00 to $32.00 and set an “equal weight” rating for the company in a research note on Thursday, August 29th. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating and four have given a buy rating to the company’s stock. According to data from MarketBeat, HP has a consensus rating of “Hold” and a consensus price target of $35.45.

Insider Activity

In other HP news, CEO Enrique Lores sold 211,501 shares of HP stock in a transaction that occurred on Thursday, September 12th. The stock was sold at an average price of $33.16, for a total value of $7,013,373.16. Following the completion of the sale, the chief executive officer now directly owns 3 shares in the company, valued at approximately $99.48. The trade was a 100.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.41% of the stock is owned by company 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.