HP (HPQ) Falls More Steeply Than Broader Market: What Investors Need to Know

HP (HPQ) closed at $26.47 in the latest trading session, marking a -1.96% move from the prior day. This change lagged the S&P 500's daily loss of 0.24%. Meanwhile, the Dow experienced a rise of 0.04%, and the technology-dominated Nasdaq saw a decrease of 0.67%. Shares of the personal computer and printer maker have appreciated by 6.26% over the course of the past month, outperforming the Computer and Technology sector's gain of 2.07%, and the S&P 500's gain of 1.95%.The investment community will be closely monitoring the performance of HP in its forthcoming earnings report. The company is scheduled to release its earnings on August 27, 2025. In that report, analysts expect HP to post earnings of $0.74 per share. This would mark a year-over-year decline of 10.84%. Meanwhile, the latest consensus estimate predicts the revenue to be $13.85 billion, indicating a 2.42% increase compared to the same quarter of the previous year. Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.09 per share and revenue of $54.71 billion, indicating changes of -8.58% and +2.15%, respectively, compared to the previous year. Investors should also take note of any recent adjustments to analyst estimates for HP. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system. The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. HP currently has a Zacks Rank of #3 (Hold). Digging into valuation, HP currently has a Forward P/E ratio of 8.74. This valuation marks a discount compared to its industry average Forward P/E of 12.79. Also, we should mention that HPQ has a PEG ratio of 2.19. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Computer - Micro Computers industry had an average PEG ratio of 1.53 as trading concluded yesterday. The Computer - Micro Computers industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 14, which puts it in the top 6% of all 250+ industries. The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions. #1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report HP Inc. (HPQ): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks