Market Cap
US$33.0b
Last Updated
2020/02/23 00:29 UTC
Data Sources
Company Financials +
Executive Summary
HP Inc. provides personal computing and other access devices, imaging and printing products, and related technologies, solutions, and services in the United States and internationally.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -7.1% per year for the next 3 years
Snowflake Analysis
Good value average dividend payer.
Similar Companies
Share Price & News
How has HP's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HPQ has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
1.5%
HPQ
-3.6%
US Tech
-1.1%
US Market
1 Year Return
-4.4%
HPQ
72.7%
US Tech
17.9%
US Market
Return vs Industry: HPQ underperformed the US Tech industry which returned 72.7% over the past year.
Return vs Market: HPQ underperformed the US Market which returned 17.9% over the past year.
Shareholder returns
| HPQ | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.5% | -3.6% | -1.1% |
| 30 Day | 3.3% | -2.3% | 1.4% |
| 90 Day | 12.7% | 17.8% | 6.9% |
| 1 Year | -1.1%-4.4% | 75.3%72.7% | 20.3%17.9% |
| 3 Year | 40.3%28.6% | 122.9%107.7% | 47.8%38.3% |
| 5 Year | 66.9%-34.8% | 142.7%118.8% | 71.9%53.0% |
Price Volatility Vs. Market
How volatile is HP's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 months ago | Simply Wall St
How Many HP Inc. (NYSE:HPQ) Shares Have Insiders Sold, In The Last Year?5 months ago | Simply Wall St
HP (NYSE:HPQ) Shareholders Received A Total Return Of 34% In The Last Five Years5 months ago | Simply Wall St
HP Inc. (NYSE:HPQ) Looks Interesting, And It's About To Pay A DividendValuation
Is HP undervalued compared to its fair value and its price relative to the market?
22.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HPQ ($22.7) is trading below our estimate of fair value ($29.25)
Significantly Below Fair Value: HPQ is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: HPQ is good value based on its PE Ratio (10.9x) compared to the Tech industry average (21.5x).
PE vs Market: HPQ is good value based on its PE Ratio (10.9x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: HPQ's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: HPQ has negative assets, so we can't compare its PB Ratio to the US Tech industry average.
Next Steps
Future Growth
How is HP forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
-7.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HPQ's earnings are forecast to decline over the next 3 years (-7.1% per year).
Earnings vs Market: HPQ's earnings are forecast to decline over the next 3 years (-7.1% per year).
High Growth Earnings: HPQ's earnings are forecast to decline over the next 3 years.
Revenue vs Market: HPQ's revenue is expected to decline over the next 3 years (-0.5% per year).
High Growth Revenue: HPQ's revenue is forecast to decline over the next 3 years (-0.5% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HPQ's Return on Equity is forecast to be very high in 3 years time (2075.2%).
Next Steps
Past Performance
How has HP performed over the past 5 years?
3.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HPQ has high quality earnings.
Growing Profit Margin: HPQ's current net profit margins (5.4%) are lower than last year (9.1%).
Past Earnings Growth Analysis
Earnings Trend: HPQ's earnings have grown by 3.5% per year over the past 5 years.
Accelerating Growth: HPQ's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: HPQ had negative earnings growth (-40.8%) over the past year, making it difficult to compare to the Tech industry average (-3.2%).
Return on Equity
High ROE: HPQ's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is HP's financial position?
Financial Position Analysis
Short Term Liabilities: HPQ has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: HPQ has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: HPQ has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: HPQ's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: HPQ's debt is well covered by operating cash flow (102.9%).
Interest Coverage: HPQ's interest payments on its debt are well covered by EBIT (26.3x coverage).
Balance Sheet
Inventory Level: HPQ has a high level of physical assets or inventory.
Debt Coverage by Assets: HPQ has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Next Steps
Dividend
What is HP's current dividend yield, its reliability and sustainability?
3.10%
Current Dividend Yield
Upcoming Dividend Payment
Purchase HP before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: HPQ's dividend (3.1%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: HPQ's dividend (3.1%) is low compared to the top 25% of dividend payers in the US market (3.73%).
Stability and Growth of Payments
Stable Dividend: HPQ's dividend payments have been volatile in the past 10 years.
Growing Dividend: HPQ's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (30.8%), HPQ's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: HPQ's dividends in 3 years are forecast to be well covered by earnings (35% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.6yrs
Average management tenure
CEO
Enrique Lores (53yo)
0.3yrs
Tenure
US$6,996,990
Compensation
Mr. Enrique J. Lores has been President, Chief Executive Officer and Director of HP Inc since November 1, 2019. He was the President of Imaging, Printing and Solutions at HP Inc. (also known as, Hewlett-Pa ...
CEO Compensation Analysis
Compensation vs Market: Enrique's total compensation ($USD7.00M) is below average for companies of similar size in the US market ($USD10.81M).
Compensation vs Earnings: Enrique's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.3yrs | US$7.00m | 0.026% $8.7m | |
| Chief Financial Officer | 1.6yrs | US$3.75m | 0.017% $5.7m | |
| President of Strategy & Business Management and Chief Legal Officer | 4.3yrs | US$5.28m | 0.014% $4.6m | |
| Chief Human Resources Officer | 4.3yrs | US$5.19m | 0.027% $8.8m | |
| Interim Chief Technology Officer & Global Head of HP Labs | 0yrs | no data | no data | |
| Head of Investor Relations | 0yrs | no data | no data | |
| Chief Communications Officer & Head of Communications | 1.5yrs | no data | no data | |
| Chief Marketing Officer | 1.5yrs | no data | no data | |
| Vice President of Europe and Managing Director of Europe | 0yrs | no data | no data | |
| Chief Operating Officer of Enterprise Group | 6.5yrs | no data | no data |
1.6yrs
Average Tenure
57yo
Average Age
Experienced Management: HPQ's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO, President & Director | 0.3yrs | US$7.00m | 0.026% $8.7m | |
| Independent Director | 6.6yrs | US$327.26k | 0.0041% $1.4m | |
| Independent Director | 5.1yrs | US$308.27k | 0.0030% $992.9k | |
| Independent Chairman of the Board | 2.6yrs | US$543.10k | 0.00029% $95.7k | |
| Independent Director | 4.3yrs | US$328.26k | 0.0036% $1.2m | |
| Independent Director | 5.1yrs | US$310.27k | 0.0025% $837.9k | |
| Independent Director | 5.1yrs | US$340.59k | 0.00031% $102.3k | |
| Independent Director | 9.1yrs | US$323.26k | 0.0022% $709.2k | |
| Independent Director | 5.1yrs | US$312.27k | 0.0029% $953.3k | |
| Director | 4.3yrs | US$19.22m | 0.060% $19.8m |
5.1yrs
Average Tenure
60.5yo
Average Age
Experienced Board: HPQ's board of directors are considered experienced (5.1 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
HP Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: HP Inc.
- Ticker: HPQ
- Exchange: NYSE
- Founded: 1939
- Industry: Technology Hardware, Storage and Peripherals
- Sector: Tech
- Market Cap: US$32.987b
- Shares outstanding: 1.45b
- Website: https://www.hp.com
Number of Employees
Location
- HP Inc.
- 1501 Page Mill Road
- Palo Alto
- California
- 94304
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| HPQ | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| HPQ * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| 7HP | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| HWP | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| HPQ | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Jan 1968 |
| HPQ | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
| HPQ-U | ETLX (Eurotlx) | Yes | Common Stock | IT | EUR | Jan 1968 |
| 0J2E | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Jan 1968 |
| HPQ | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| HPQ | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH 1 REP 1 USD0.01 | AR | ARS | Jul 2001 | |
| HPQB34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM USD0.01 | BR | BRL | Aug 2012 | |
| HPQ.WI | NYSE (New York Stock Exchange) | COM USD0.01 | US | USD | Oct 2015 | |
| HPQ | SWX (SIX Swiss Exchange) | COM USD0.01 | CH | CHF | Oct 2015 |
Biography
HP Inc. provides personal computing and other access devices, imaging and printing products, and related technologies, solutions, and services in the United States and internationally. The company operates through three segments: Personal Systems, Printing, and Corporate Investments. The Personal Systems segment offers commercial and consumer desktop and notebook personal computers, workstations, thin clients, commercial mobility devices, retail point-of-sale systems, displays and other related accessories, software, support, and services. The Printing segment provides consumer and commercial printer hardware, supplies, solutions, and services, as well as scanning devices. The Corporate Investments segment includes HP Labs and business incubation projects. It serves individual consumers, small- and medium-sized businesses, and large enterprises, including customers in the government, health, and education sectors. HP Inc. has a strategic alliance with Siemens AG; and collaboration with SmileDirectClub. The company was formerly known as Hewlett-Packard Company and changed its name to HP Inc. in October 2015. HP Inc. was founded in 1939 and is headquartered in Palo Alto, California.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/23 00:29 |
| End of Day Share Price | 2020/02/21 00:00 |
| Earnings | 2019/10/31 |
| Annual Earnings | 2019/10/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.