Analyst Samik Chatterjee of J.P. Morgan maintained a Buy rating on HP (HPQ – Research Report), with a price target of $40.00.
Samik Chatterjee has given his Buy rating due to a combination of factors that highlight HP’s potential for growth and resilience in the market. One of the primary reasons is the expected growth in HP’s Personal Systems (PS) segment, which is anticipated to outperform the market and drive the company’s recovery. This growth is supported by HP’s strategic initiatives to gain market share and capitalize on the momentum in the commercial PC refresh cycle.
Despite some challenges such as higher commodity costs and tariffs, HP’s management has expressed confidence in mitigating these issues through supply-chain optimization and cost improvements. Additionally, the company’s shares are trading at a valuation slightly below the average, suggesting limited downside risk. With the PC refresh cycle gaining momentum and the company’s efforts to stabilize margins, there is potential for upside in earnings estimates, justifying the Buy rating and the December 2025 price target of $40.
Based on the recent corporate insider activity of 38 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of HPQ in relation to earlier this year.