Analysts at investment firm Edward Jones pulled away from the Wall Street flock when they upgraded personal computer maker HP (NYSE:HPQ) from Hold to Buy. However, despite the upgrade, HP shares declined marginally in Tuesday afternoon’s trading session.
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Indeed, analyst David Heger, in a note to investors on Tuesday, said HP shares are attractively valued. According to Heger, the weakened demand in the PC market will see an upturn soon as consumers move to replace old computers.
Furthermore, Heger noted that Microsoft’s (NASDAQ:MSFT) decision to pull support for Windows 10 after October 2025 will also push consumers to consider newer computer models. In addition, the analyst predicted that HP could see a revenue bump as the personal computers market sees more demand in 2024.
Moreover, Heger stated that although HP’s printing division still faces some challenges, profitability has increased. The analyst added that while markets like 3D printing are expanding, they are not growing fast enough to counteract the challenges facing the conventional printing business.
Is HPQ a Buy or Sell?
Wall Street analysts remain cautious on HPQ stock with a Hold consensus rating based on three Buys, four Holds, and two Sells. Further, the average HPQ stock price target of $30.50 implies an 11.62% upside potential from current levels.
