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HP (HPQ) Stock Moves -1.26%: What You Should Know

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In the latest trading session, HP (HPQ - Free Report) closed at $22.01, marking a -1.26% move from the previous day. This move was narrower than the S&P 500's daily loss of 1.91%. At the same time, the Dow lost 2.02%, and the tech-heavy Nasdaq lost 2.26%.

Prior to today's trading, shares of the personal computer and printer maker had lost 7.78% over the past month. This has lagged the Computer and Technology sector's loss of 0.02% and the S&P 500's loss of 2.51% in that time.

HPQ will be looking to display strength as it nears its next earnings release, which is expected to be February 28, 2019. In that report, analysts expect HPQ to post earnings of $0.52 per share. This would mark year-over-year growth of 8.33%. Our most recent consensus estimate is calling for quarterly revenue of $15.05 billion, up 3.7% from the year-ago period.

HPQ's full-year Zacks Consensus Estimates are calling for earnings of $2.17 per share and revenue of $59.57 billion. These results would represent year-over-year changes of +7.43% and +1.88%, respectively.

Investors should also note any recent changes to analyst estimates for HPQ. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. HPQ is holding a Zacks Rank of #3 (Hold) right now.

Valuation is also important, so investors should note that HPQ has a Forward P/E ratio of 10.26 right now. This valuation marks a discount compared to its industry's average Forward P/E of 14.51.

Also, we should mention that HPQ has a PEG ratio of 2.16. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. HPQ's industry had an average PEG ratio of 2 as of yesterday's close.

The Computer - Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 51, putting it in the top 20% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow HPQ in the coming trading sessions, be sure to utilize Zacks.com.


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