HP (NYSE:HPQ) Issues 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 FY 2025 guidance to 3.450-3.750 EPS.

HP Trading Down 11.4 %

Shares of NYSE HPQ opened at $34.66 on Thursday. HP has a 1 year low of $27.42 and a 1 year high of $39.79. The firm’s 50-day moving average is $36.56 and its 200-day moving average is $35.52. The firm has a market capitalization of $33.40 billion, a PE ratio of 12.16, a price-to-earnings-growth ratio of 2.70 and a beta of 1.07.

HP (NYSE:HPQ) last announced its quarterly earnings data on Tuesday, November 26th. The computer maker reported $0.93 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.93. HP had a net margin of 5.33% and a negative return on equity of 266.37%. The firm had revenue of $14.06 billion for the quarter, compared to analysts’ expectations of $13.99 billion. During the same period last year, the firm earned $0.90 earnings per share. The business’s revenue for the quarter was up 1.7% on a year-over-year basis. As a group, equities research analysts anticipate that HP will post 3.39 earnings per share for the current fiscal year.

HP Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, January 2nd. Investors of record on Wednesday, December 11th will be paid a dividend of $0.2894 per share. The ex-dividend date is Wednesday, December 11th. This is a boost from HP’s previous quarterly dividend of $0.28. This represents a $1.16 dividend on an annualized basis and a dividend yield of 3.34%. HP’s payout ratio is 38.60%.

HP declared that its Board of Directors has initiated a share buyback 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 stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Analyst Ratings Changes

Several research firms have recently issued reports on HPQ. JPMorgan Chase & Co. decreased their target price on HP from $42.00 to $41.00 and set an “overweight” rating for the company in a research report on Wednesday, November 20th. UBS Group boosted their price objective on shares of HP from $34.00 to $37.00 and gave the company a “neutral” rating in a report on Thursday, August 29th. Morgan Stanley cut their target price on shares of HP from $37.00 to $36.00 and set an “equal weight” rating on the stock in a report on Thursday, August 29th. TD Cowen boosted their price target on shares of HP from $32.00 to $39.00 and gave the company a “hold” rating in a report on Wednesday. Finally, Barclays raised their price objective on HP from $32.00 to $35.00 and gave the stock an “equal weight” rating in a research note on Wednesday. One equities research analyst has rated the stock with a sell rating, seven have given a hold rating and four have assigned a buy rating to the company. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $36.32.

Insider Buying and Selling

In related 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 sale, the chief executive officer now owns 3 shares of the company’s stock, valued at approximately $99.48. This trade represents a 100.00 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 0.41% of the company’s stock.

HP Company Profile

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.