HP (HPQ) Stock Moves -0.91%: What You Should Know
In the latest trading session, HP (HPQ) closed at $30.51, marking a -0.91% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.04%. At the same time, the Dow lost 0.38%, and the tech-heavy Nasdaq lost 5.88%.
Heading into today, shares of the personal computer and printer maker had gained 13.16% over the past month, lagging the Computer and Technology sector's gain of 18.95% and outpacing the S&P 500's gain of 8.97% in that time.
Wall Street will be looking for positivity from HP as it approaches its next earnings report date. On that day, HP is projected to report earnings of $0.74 per share, which would represent a year-over-year decline of 32.73%. Meanwhile, our latest consensus estimate is calling for revenue of $14.15 billion, down 16.91% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.33 per share and revenue of $56.92 billion. These totals would mark changes of -18.38% and -9.62%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for HP. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.6% lower. HP is holding a Zacks Rank of #3 (Hold) right now.
Investors should also note HP's current valuation metrics, including its Forward P/E ratio of 9.26. For comparison, its industry has an average Forward P/E of 9.26, which means HP is trading at a no noticeable deviation to the group.
Meanwhile, HPQ's PEG ratio is currently 3.38. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Mini computers industry currently had an average PEG ratio of 2.67 as of yesterday's close.
The Computer - Mini computers industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 223, which puts it in the bottom 12% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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