HP Inc (HPQ) Earnings Report Coming This Tuesday
Personal computing and printing powerhouse HP (NYSE:HPQ) is set to announce its earnings this Tuesday afternoon. Investors are eager to know what to anticipate.
Last quarter, HP surpassed analysts’ revenue expectations, posting revenues of $14.64 billion, marking a 4.2% increase year-on-year. However, the company experienced a notable shortfall in analysts’ full-year EPS guidance estimates and slightly missed EPS guidance for the upcoming quarter.
As we look forward to this earnings report, the market is projecting a revenue growth of 3.6% year-on-year, an improvement from the 2.4% increase recorded during the same quarter last year.
Over the past 30 days, analysts following HPQ have largely reaffirmed their projections, indicating confidence that the company will maintain its revenue trajectory. Historically, HP has a strong track record of meeting Wall Street’s revenue forecasts.
Comparing HP to its peers in the hardware and infrastructure sector, some companies have already released their Q4 results, providing valuable insights. Super Micro reported an astonishing year-on-year revenue growth of 123%, exceeding expectations by 21.5%. Meanwhile, Diebold Nixdorf achieved revenue growth of 11.7%, aligning with consensus estimates. Following these results, Super Micro’s stock rose by 13.8%, while Diebold Nixdorf saw an 11% increase in share price.
The outlook for 2025 is somewhat uncertain, clouded by potential trade policy shifts and corporate tax discussions that could affect business confidence and growth trajectories. While certain hardware and infrastructure stocks have shown resilience in this volatile market, the overall sector has underperformed, with average share prices slipping 5.9% over the past month. HP has also faced challenges, declining 5% in the same period, and is heading into the earnings announcement with an average analyst price target of $23.21, compared to its current trading price of $18.53.
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