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HP (HPQ) Registers a Bigger Fall Than the Market: Important Facts to Note
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The latest trading session saw HP (HPQ - Free Report) ending at $35.52, denoting a -1.69% adjustment from its last day's close. The stock's change was less than the S&P 500's daily loss of 0.5%. On the other hand, the Dow registered a gain of 0.5%, and the technology-centric Nasdaq decreased by 1.28%.
Shares of the personal computer and printer maker witnessed a gain of 3.32% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.37% and the S&P 500's gain of 0.1%.
The investment community will be paying close attention to the earnings performance of HP in its upcoming release. On that day, HP is projected to report earnings of $0.86 per share, which would represent no growth from the year-ago period. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.31 billion, up 0.85% from the year-ago period.
HPQ's full-year Zacks Consensus Estimates are calling for earnings of $3.45 per share and revenue of $53.59 billion. These results would represent year-over-year changes of +5.18% and -0.31%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for HP. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. HP is holding a Zacks Rank of #4 (Sell) right now.
With respect to valuation, HP is currently being traded at a Forward P/E ratio of 10.48. For comparison, its industry has an average Forward P/E of 12.35, which means HP is trading at a discount to the group.
We can also see that HPQ currently has a PEG ratio of 2.3. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Computer - Micro Computers industry had an average PEG ratio of 1.76.
The Computer - Micro Computers industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 105, this industry ranks in the top 42% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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HP (HPQ) Registers a Bigger Fall Than the Market: Important Facts to Note
The latest trading session saw HP (HPQ - Free Report) ending at $35.52, denoting a -1.69% adjustment from its last day's close. The stock's change was less than the S&P 500's daily loss of 0.5%. On the other hand, the Dow registered a gain of 0.5%, and the technology-centric Nasdaq decreased by 1.28%.
Shares of the personal computer and printer maker witnessed a gain of 3.32% over the previous month, beating the performance of the Computer and Technology sector with its loss of 4.37% and the S&P 500's gain of 0.1%.
The investment community will be paying close attention to the earnings performance of HP in its upcoming release. On that day, HP is projected to report earnings of $0.86 per share, which would represent no growth from the year-ago period. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $13.31 billion, up 0.85% from the year-ago period.
HPQ's full-year Zacks Consensus Estimates are calling for earnings of $3.45 per share and revenue of $53.59 billion. These results would represent year-over-year changes of +5.18% and -0.31%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for HP. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. HP is holding a Zacks Rank of #4 (Sell) right now.
With respect to valuation, HP is currently being traded at a Forward P/E ratio of 10.48. For comparison, its industry has an average Forward P/E of 12.35, which means HP is trading at a discount to the group.
We can also see that HPQ currently has a PEG ratio of 2.3. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Computer - Micro Computers industry had an average PEG ratio of 1.76.
The Computer - Micro Computers industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 105, this industry ranks in the top 42% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.