HP Inc. shares traded lower Thursday, following downgrade from Goldman Sachs analysts who also lowered their price target on the stock.
Goldman Sachs analyst Rod Hall lowered his rating to "sell" from "neutral on the PC and printer maker’s shares. Hall slashed price target on the stock by $4 to $14 per share.
Hall feels that HP faces a "difficult transition" in its printers business, which the company announced last week. Softness in global consumer PC markets is another factor that he cited, alongwith his expectation that strength in business demand would cool off in the second half of next year.
Last week, HP revealed plans to retrench nearly a fifth of its workforce in a cost-cutting effort that it expects will result in around $1 billion savings over the next two years. It will eliminate between 7,000 and 9,000 jobs from its global workforce of 55,000, while taking a fourth quarter charge of around $100 million to compensate for the costs.
On January 23, 2025, the Stochastic Oscillator for HPQ moved out of oversold territory and this could be a bullish sign for the stock. Traders may want to buy the stock or buy call options. Tickeron's A.I.dvisor looked at 59 instances where the indicator left the oversold zone. In of the 59 cases the stock moved higher in the following days. This puts the odds of a move higher at over .
The Moving Average Convergence Divergence (MACD) for HPQ just turned positive on February 05, 2025. Looking at past instances where HPQ's MACD turned positive, the stock continued to rise in of 50 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where HPQ advanced for three days, in of 350 cases, the price rose further within the following month. The odds of a continued upward trend are .
HPQ may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Momentum Indicator moved below the 0 level on February 03, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on HPQ as a result. In of 94 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The 50-day moving average for HPQ moved below the 200-day moving average on February 04, 2025. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where HPQ declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for HPQ entered a downward trend on February 07, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (6.425). P/E Ratio (8.909) is within average values for comparable stocks, (59.439). Projected Growth (PEG Ratio) (3.068) is also within normal values, averaging (55.962). Dividend Yield (0.035) settles around the average of (0.034) among similar stocks. P/S Ratio (0.573) is also within normal values, averaging (11.728).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 78, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. HPQ’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a developer of imaging and printing systems, computing systems and information technology solutions
Industry ComputerPeripherals