We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. By pressing "Accept All" or closing out of this banner, you accept our Privacy Policy and Terms of Service, revised from time to time, and you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties. You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why You Should Retain HPQ Stock in Your Portfolio Now
Read MoreHide Full Article
HP Inc. (HPQ - Free Report) shares have gained 11.4% in the past year, underperforming the Zacks Computer - Micro Computers industry and Zacks Computer and Technology sector and the S&P 500 index’s return of 18.1%, 27% and 24.4%, respectively. Although HP has underperformed its industry and the broader tech sector, its persistent efforts on product innovation and differentiation are enabling it to adapt to changing trends.
For instance, HPQ is set to capitalize on the latest artificial intelligence (AI) wave. Per a report by Gartner, AI-based laptops and personal computers shipment will experience year-over-year growth of 165.5% in 2025. HPQ has broadened its product portfolio by introducing AI-powered personal computers and laptops, offering advanced tools to consumers to fully harness the potential of AI.
HP’s AI Portfolio Drives Growth
Throughout the past year, HPQ has introduced AI-based computing devices like HP OmniBook Ultra Flip 14-inch Next-Gen AI PC, HP EliteBook X 14-inch Next-Gen AI PC, Z by HP Gen AI Lab, HP OmniBook X AI PC, HP EliteBook Ultra AI PC, HP OmniBook Ultra laptop and HP OmniStudio PC.
HPQ’s continuous AI-based product launches led its AI PC units to contribute to more than 15% of HPQ’s PC shipments. A past report by Canalys suggests that HP has the largest market share of AI PC in the Windows ecosystem.
HPQ 1 Year Price Performance Chart
Image Source: Zacks Investment Research
To maintain its leadership in the AI-computing space, HPQ began 2025 with the launch of the OMEN Max 16 Laptop integrated with OMEN AI technology and AI-driven one-click performance optimization technology. The company also introduced the HP EliteBook X G1i 14-inch Notebook Next-Gen AI PC and HP EliteBook X Flip G1i 14-inch business notebook Next-Gen AI PC.
HPQ has also upgraded its Printer business with the integration of AI. In 2024, HPQ launched HP Print AI, the first-of-its-kind intelligent print technology that uses AI to improve the printing experiences of people at home. HP has ventured beyond the integration of AI in its 2D printing products.
To enhance the experience for users of HP 3D printers, HPQ has partnered with Fabrex to provide its customers with an AI-driven platform that streamlines build preparation, order management and tracking.
Rising Competition in the AI Space
The rapidly expanding AI market presents unique challenges, such as the influx of numerous companies flooding the market with their AI products. HP faces stiff competition from other companies, including Lenovo (LNVGY - Free Report) and Dell Technologies (DELL - Free Report) , which are also launching AI-based products. In the printing space, HPQ faces competitive pressure from Canon (CAJPY - Free Report) .
Dell has numerous workstations that offer AI capabilities. These workstations are XPS 13, Inspiron 14 Plus, Inspiron 14, Latitude 7455 and Latitude 5455. Lenovo’s lineup of AI computers includes the Lenovo ThinkPad X1 Carbon 10th Gen and later, Lenovo Yoga 9i and Lenovo ThinkBook Plus Gen 3.
In the printing space, Canon has integrated AI in its imagePROGRAF series of professional photo printers like the imagePROGRAF PRO-1000 to improve image production and color management. Increased competition in these arenas poses the risk of market saturation, potentially slowing down HPQ’s top-line and bottom-line growth.
HPQ’s fiscal 2025 and 2026 revenues are expected to grow 2.89% and 2.73%, respectively. HP’s fiscal 2025 and 2026 earnings are expected to grow 5.33% and 6.22%, respectively.
HP beat the Zacks Consensus Estimates for earnings in one of the trailing four quarters, missing twice and matching once, the average negative surprise being 0.83%.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Conclusion: Hold HPQ Stock Now
HPQ is capitalizing on the rapidly expanding AI PC market with the introduction of AI-based computing products for consumers. However, this market is also experiencing an influx of other established players, making the market highly competitive. Considering all these factors, investors should hold on to this Zacks Rank #3 (Hold) stock at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Shutterstock
Here's Why You Should Retain HPQ Stock in Your Portfolio Now
HP Inc. (HPQ - Free Report) shares have gained 11.4% in the past year, underperforming the Zacks Computer - Micro Computers industry and Zacks Computer and Technology sector and the S&P 500 index’s return of 18.1%, 27% and 24.4%, respectively. Although HP has underperformed its industry and the broader tech sector, its persistent efforts on product innovation and differentiation are enabling it to adapt to changing trends.
For instance, HPQ is set to capitalize on the latest artificial intelligence (AI) wave. Per a report by Gartner, AI-based laptops and personal computers shipment will experience year-over-year growth of 165.5% in 2025. HPQ has broadened its product portfolio by introducing AI-powered personal computers and laptops, offering advanced tools to consumers to fully harness the potential of AI.
HP’s AI Portfolio Drives Growth
Throughout the past year, HPQ has introduced AI-based computing devices like HP OmniBook Ultra Flip 14-inch Next-Gen AI PC, HP EliteBook X 14-inch Next-Gen AI PC, Z by HP Gen AI Lab, HP OmniBook X AI PC, HP EliteBook Ultra AI PC, HP OmniBook Ultra laptop and HP OmniStudio PC.
HPQ’s continuous AI-based product launches led its AI PC units to contribute to more than 15% of HPQ’s PC shipments. A past report by Canalys suggests that HP has the largest market share of AI PC in the Windows ecosystem.
HPQ 1 Year Price Performance Chart
Image Source: Zacks Investment Research
To maintain its leadership in the AI-computing space, HPQ began 2025 with the launch of the OMEN Max 16 Laptop integrated with OMEN AI technology and AI-driven one-click performance optimization technology. The company also introduced the HP EliteBook X G1i 14-inch Notebook Next-Gen AI PC and HP EliteBook X Flip G1i 14-inch business notebook Next-Gen AI PC.
HPQ has also upgraded its Printer business with the integration of AI. In 2024, HPQ launched HP Print AI, the first-of-its-kind intelligent print technology that uses AI to improve the printing experiences of people at home. HP has ventured beyond the integration of AI in its 2D printing products.
To enhance the experience for users of HP 3D printers, HPQ has partnered with Fabrex to provide its customers with an AI-driven platform that streamlines build preparation, order management and tracking.
Rising Competition in the AI Space
The rapidly expanding AI market presents unique challenges, such as the influx of numerous companies flooding the market with their AI products. HP faces stiff competition from other companies, including Lenovo (LNVGY - Free Report) and Dell Technologies (DELL - Free Report) , which are also launching AI-based products. In the printing space, HPQ faces competitive pressure from Canon (CAJPY - Free Report) .
Dell has numerous workstations that offer AI capabilities. These workstations are XPS 13, Inspiron 14 Plus, Inspiron 14, Latitude 7455 and Latitude 5455. Lenovo’s lineup of AI computers includes the Lenovo ThinkPad X1 Carbon 10th Gen and later, Lenovo Yoga 9i and Lenovo ThinkBook Plus Gen 3.
In the printing space, Canon has integrated AI in its imagePROGRAF series of professional photo printers like the imagePROGRAF PRO-1000 to improve image production and color management. Increased competition in these arenas poses the risk of market saturation, potentially slowing down HPQ’s top-line and bottom-line growth.
HPQ’s fiscal 2025 and 2026 revenues are expected to grow 2.89% and 2.73%, respectively. HP’s fiscal 2025 and 2026 earnings are expected to grow 5.33% and 6.22%, respectively.
HP beat the Zacks Consensus Estimates for earnings in one of the trailing four quarters, missing twice and matching once, the average negative surprise being 0.83%.
Find the latest EPS estimates and surprises on Zacks Earnings Calendar.
Conclusion: Hold HPQ Stock Now
HPQ is capitalizing on the rapidly expanding AI PC market with the introduction of AI-based computing products for consumers. However, this market is also experiencing an influx of other established players, making the market highly competitive. Considering all these factors, investors should hold on to this Zacks Rank #3 (Hold) stock at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.