HP (NYSE:HPQ) Given Underperform Rating at Bank of America

HP (NYSE:HPQ)‘s stock had its “underperform” rating restated by equities researchers at Bank of America in a report issued on Tuesday, MarketBeat reports. They currently have a $20.00 target price on the computer maker’s stock, down from their previous target price of $26.00. Bank of America‘s target price suggests a potential upside of 5.66% from the company’s previous close.

HPQ has been the topic of a number of other research reports. Wall Street Zen cut shares of HP from a “buy” rating to a “hold” rating in a report on Sunday, October 26th. The Goldman Sachs Group downgraded shares of HP from a “neutral” rating to a “sell” rating and set a $21.00 target price on the stock. in a report on Tuesday, January 13th. JPMorgan Chase & Co. reduced their price objective on HP from $30.00 to $25.00 and set a “neutral” rating for the company in a research note on Wednesday, November 26th. Sanford C. Bernstein reaffirmed a “market perform” rating on shares of HP in a research note on Monday, December 1st. Finally, Barclays restated an “underweight” rating and issued a $18.00 target price (down previously from $24.00) on shares of HP in a report on Friday, January 16th. Two equities research analysts have rated the stock with a Strong Buy rating, one has given a Buy rating, ten have assigned a Hold rating and six have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average target price of $24.31.

HP Trading Down 4.5%

HPQ traded down $0.88 during midday trading on Tuesday, hitting $18.93. The company’s stock had a trading volume of 16,336,148 shares, compared to its average volume of 18,105,379. The firm has a market cap of $17.38 billion, a P/E ratio of 7.11, a PEG ratio of 3.61 and a beta of 1.21. The firm has a 50-day moving average price of $22.49 and a two-hundred day moving average price of $25.21. HP has a 52-week low of $18.32 and a 52-week high of $35.28.

HP (NYSE:HPQ) last issued its quarterly earnings data on Tuesday, November 25th. The computer maker reported $0.93 EPS for the quarter, topping analysts’ consensus estimates of $0.91 by $0.02. The company had revenue of $14.64 billion for the quarter, compared to analysts’ expectations of $14.50 billion. HP had a negative return on equity of 330.68% and a net margin of 4.57%.The firm’s quarterly revenue was up 4.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.93 earnings per share. HP has set its FY 2026 guidance at 2.900-3.200 EPS and its Q1 2026 guidance at 0.730-0.810 EPS. On average, equities analysts expect that HP will post 3.56 EPS for the current year.

Insider Activity

In related news, CEO Enrique Lores sold 41,922 shares of the firm’s stock in a transaction on Friday, December 5th. The stock was sold at an average price of $26.00, for a total transaction of $1,089,972.00. Following the sale, the chief executive officer owned 141,456 shares of the company’s stock, valued at approximately $3,677,856. This trade represents a 22.86% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Ketan M. Patel sold 33,321 shares of the firm’s stock in a transaction on Friday, December 26th. The stock was sold at an average price of $23.19, for a total transaction of $772,713.99. Following the sale, the insider owned 34,572 shares in the company, valued at approximately $801,724.68. The trade was a 49.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 91,969 shares of company stock valued at $2,277,993 in the last quarter. Company insiders own 0.38% of the company’s stock.

Hedge Funds Weigh In On HP

A number of institutional investors have recently added to or reduced their stakes in HPQ. Garner Asset Management Corp acquired a new position in HP in the 4th quarter valued at $25,000. Laurel Wealth Advisors LLC raised its position in shares of HP by 2,346.5% in the 2nd quarter. Laurel Wealth Advisors LLC now owns 1,052 shares of the computer maker’s stock valued at $26,000 after buying an additional 1,009 shares in the last quarter. Flagship Harbor Advisors LLC bought a new stake in HP during the fourth quarter worth $26,000. Elevation Point Wealth Partners LLC acquired a new position in HP during the second quarter worth about $27,000. Finally, Sound Income Strategies LLC boosted its position in HP by 97.0% in the fourth quarter. Sound Income Strategies LLC now owns 1,312 shares of the computer maker’s stock valued at $27,000 after buying an additional 646 shares in the last quarter. 77.53% of the stock is currently owned by institutional investors and hedge funds.

Key HP News

Here are the key news stories impacting HP this week:

• Positive Sentiment: Analysts/commentary argue HP is deeply undervalued with strong free cash flow, a ~6%+ yield and an aggressive cost-reduction plan that could protect margins and unlock value for income investors. HP Inc.: A Share Cannibal Trading At Cycle Lows
• Neutral Sentiment: HP set a live webcast for Q1 FY2026 results on Feb 24 — a scheduled opportunity for management to clarify near-term outlook and cost-savings progress, which could reduce uncertainty if commentary is constructive. HP Inc. to Announce First-Quarter Fiscal 2026 Earnings on Feb 24, 2026
• Neutral Sentiment: The board named director Bruce Broussard as interim CEO effective immediately — a stabilizing measure but one that leaves strategic direction unclear until a permanent CEO is appointed. HP appoints Bruce Broussard as interim CEO
• Negative Sentiment: CEO Enrique Lores is leaving to become PayPal’s CEO — a sudden exit of a sitting CEO increases near-term execution risk and prompted immediate market selling as investors reassess leadership continuity and strategy. HP CEO Lores steps down, to be replaced by Broussard on interim basis PayPal hires HP’s Enrique Lores as its new CEO
• Negative Sentiment: HP updated FY2026 EPS guidance to $2.90–3.20 and Q1 EPS to $0.73–0.81, both modestly below consensus — this guidance miss is a key near-term negative driver and likely explains part of today’s weakness.

About HP

HP Inc is an American multinational information technology company that designs, manufactures and sells personal computing devices, printers and related supplies and services. Its product portfolio spans consumer and commercial notebooks and desktops, workstations, displays and accessories, as well as an extensive line of printing hardware that includes home, office and production printers. HP also provides consumables such as ink and toner, managed print services, device deployment and lifecycle support, and software for device and print management.

Founded from the original Hewlett?Packard Company, HP Inc became a separately traded public company in 2015 following a corporate split that created Hewlett Packard Enterprise to focus on enterprise hardware and services.