Key Factors to Evaluate Before Investing in HP (HPQ)

By Tamara Parker • Friday, February 28 15:08 • Permanent Link

One of the losers of today's trading session was HP. Shares of the Computer hardware company plunged -8.1%, and some investors may be wondering if its price of $30.44 would make a good entry point. Here's what you should know if you are considering this investment:

HP has moved 12.6% over the last year, and the S&P 500 logged a change of 14.1%
HPQ has an average analyst rating of hold and is -16.36% away from its mean target price of $36.39 per share
Its trailing earnings per share (EPS) is $2.78
HP has a trailing 12 month Price to Earnings (P/E) ratio of 10.9 while the S&P 500 average is 29.3
Its forward earnings per share (EPS) is $3.6 and its forward P/E ratio is 8.5
HP is part of the Technology sector, which has an average P/E ratio of 30.01 and an average P/B of 3.91
HPQ has reported YOY quarterly earnings growth of -4.8% and gross profit margins of 0.2%
The company has a free cash flow of $3.3 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter
HP Inc. provides personal computing, printing, 3D printing, hybrid work, gaming, and other related technologies in the United States and internationally. The company operates through three segments: Personal Systems, Printing, and Corporate Investments. The Personal Systems segment offers commercial and consumer desktops and notebooks, workstations, thin clients, retail point-of-sale systems, displays, software, support, and services, as well as hybrid systems. The Printing segment provides consumer and commercial printer hardware, supplies, solutions, and services, as well as focuses on graphics and 3D printing and personalization solutions in the commercial and industrial markets. The Corporate Investments segment is involved in the business incubation and investment projects. It serves individual consumers, small- and medium-sized businesses, and large enterprises. The company was formerly known as Hewlett-Packard Company and changed its name to HP Inc. in October 2015. HP Inc. was founded in 1939 and is headquartered in Palo Alto, California.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.