Analyst Mike Ng of Goldman Sachs maintained a Hold rating on HP (HPQ – Research Report), with a price target of $39.00.
Mike Ng’s rating is based on a combination of factors including HP’s recent financial performance and market conditions. HP’s earnings per share for the first quarter of fiscal year 2025 were in line with expectations, and revenue from both Personal Systems and Print segments met forecasts. However, the Print segment experienced a 2% year-over-year decline in revenue due to competitive pressures in the Commercial market, despite some gains in the Consumer market.
In the Personal Systems segment, HP is witnessing an increase in demand driven by factors such as the aging PC installed base and the end of support for Windows 10. While there was a decline in Consumer PC shipments, HP managed to grow its market share in the Commercial PC sector. Despite these positive developments, challenges remain, such as tariff-related headwinds and uncertainties in the PC refresh cycle, which contribute to the Hold rating. HP’s focus on operational efficiency and cost savings is promising, but the ongoing uncertainties in the market warrant a cautious approach.
In another report released on February 28, Barclays also maintained a Hold rating on the stock with a $36.00 price target.
HPQ’s price has also changed moderately for the past six months – from $34.760 to $30.870, which is a -11.19% drop .