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Compared to Estimates, HP (HPQ) Q3 Earnings: A Look at Key Metrics

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HP (HPQ - Free Report) reported $13.2 billion in revenue for the quarter ended July 2023, representing a year-over-year decline of 10%. EPS of $0.86 for the same period compares to $1.04 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $13.36 billion, representing a surprise of -1.23%. The company has not delivered EPS surprise, with the consensus EPS estimate being $0.86.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how HP performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Days in accounts payable: 123 Days versus 118 Days estimated by two analysts on average.
  • Net revenue- Personal Systems: $8.93 billion versus $8.79 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -11.5% change.
  • Net revenue- Printing: $4.26 billion versus the three-analyst average estimate of $4.57 billion. The reported number represents a year-over-year change of -6.8%.
  • Net revenue- Printing- Commercial Printing: $974 million compared to the $1.10 billion average estimate based on three analysts. The reported number represents a change of -6% year over year.
  • Net revenue- Personal Systems- Consumer PS: $2.73 billion versus $3.74 billion estimated by three analysts on average.
  • Net revenue- Printing- Supplies: $2.77 billion versus the three-analyst average estimate of $2.81 billion. The reported number represents a year-over-year change of -1.6%.
  • Net revenue- Personal Systems- Commercial PS: $6.20 billion versus the three-analyst average estimate of $5.05 billion.
  • Net revenue- Printing- Consumer Printing: $521 million compared to the $657.39 million average estimate based on three analysts. The reported number represents a change of -28.1% year over year.
  • Earnings from operations- Personal Systems: $592 million versus $528.15 million estimated by three analysts on average.
  • Earnings from operations- Corporate Investments: -$32 million compared to the -$79.24 million average estimate based on three analysts.
  • Earnings from operations- Printing: $794 million compared to the $853.03 million average estimate based on three analysts.
View all Key Company Metrics for HP here>>>

Shares of HP have returned -9.9% over the past month versus the Zacks S&P 500 composite's -1.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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