HP Inc. (NYSE: HPQ) has revised its earnings guidance for the first quarter of 2026, projecting earnings per share (EPS) between $0.730 and $0.810. This range is slightly below the consensus estimate of $0.770 set by analysts. The company also adjusted its full-year guidance for 2026, now forecasting EPS between $2.900 and $3.200.
Analysts have had varied reactions to HP’s revised guidance. On August 28, 2023, Barclays lowered its price target for HP from $28.00 to $27.00, maintaining an “equal weight” rating. Meanwhile, on September 15, 2023, Sanford C. Bernstein initiated coverage of HP, issuing a “market perform” rating with a price target of $30.00. In a notable shift, HSBC Global Research upgraded HP’s stock from a “hold” rating to a “strong buy” on October 14, 2023.
The current ratings reflect a mix of sentiment among analysts. One has assigned a “strong buy,” another a “buy,” while thirteen have given a “hold” rating. Two analysts have rated the stock as a “sell.” According to data from MarketBeat.com, HP’s consensus rating stands at “hold,” with an average target price of $27.67.
HP’s stock performance remains a focal point for investors. In its most recent earnings report dated November 25, 2023, the company reported an EPS of $0.93, exceeding the consensus estimate of $0.92 by $0.01. Revenue for the quarter reached $14.64 billion, surpassing analyst expectations of $14.50 billion. This performance occurred despite a negative return on equity of 262.03% and a net margin of 4.83%.
Insider Transactions and Institutional Holdings
Recent insider trading activity has raised eyebrows. CEO Enrique Lores sold 34,282 shares on September 29, 2023, at an average price of $26.85, totaling approximately $920,471.70. Following this transaction, Lores retained only three shares, valued at $80.55. This sale represents a dramatic 99.99% decrease in his holdings. The transaction was disclosed in a filing with the Securities and Exchange Commission (SEC).
Similarly, insider Anneliese Olson sold 18,154 shares on October 29, 2023, at an average price of $27.88, amounting to about $506,133.52. Post-sale, Olson holds only 169 shares, worth approximately $4,711.72, reflecting a 99.08% decrease in her stake. According to SEC filings, corporate insiders own 0.38% of HP’s stock.
Institutional investors have also been active regarding their stakes in HP. IHT Wealth Management LLC increased its position by 3.3% in the second quarter, now owning 12,470 shares valued at $305,000. Vident Advisory LLC raised its stake by 0.6%, holding 69,579 shares worth approximately $1.7 million after purchasing additional shares in the same period.
The data indicate that institutional investors and hedge funds collectively own 77.53% of HP’s stock, underlining the significant institutional interest in the company.
About HP Inc.
HP Inc. offers an extensive range of products, technologies, software, solutions, and services designed for individual consumers, small- and medium-sized businesses, and large enterprises, including clients in government, health, and education sectors worldwide. The company operates through two main segments: Personal Systems and Printing. The Personal Systems segment provides commercial and consumer PCs, workstations, tablets, and related accessories, along with software and support services.
As HP continues to navigate market challenges and opportunities, stakeholders are watching closely for further developments in its financial performance and strategic direction.
