Bull Rankings model

HP Inc. (HPQ) stock analysis

Computer Hardware. Scored on the same transparent model behind the daily rankings.

★
HPQ
HP Inc. · Computer Hardware
50.4Score
$30.20Oct 9 close$27.2B
1Y Target$29.66Analyst consensus · 17 analysts
5Y Target$37.45Compound horizon
10Y Target$48.03Long-dated conviction
FCF$3.9bTTM · 07/26
B
FCF $3.9b — solid, comfortably covers operations and capital return · Trailing twelve months to 07/26 (operating cash flow − capex).
Rev+3.2%FY YoY
C+
Revenue +3.2% — steady but below market-beating range · Computed from the last two annual revenue figures (FY YoY).
D/ENegative equity
—
Shareholders' equity is below zero, usually after years of share buybacks, so debt-to-equity has no meaning here. When the company earns an operating profit, the score measures its debt as net debt against that profit instead.
P/E11.5x
A
P/E 11.5 — cheapest decile in Technology (≈10th pctile)
PEG3.46
D
PEG 3.46 — very expensive; pricing in best-case scenarios

Targets: 1-year is analyst consensus where covered, 5- and 10-year are model estimates; the DCF is a cross-check, not a target. Methodology

Quality-growth score · 50.4
Quality84.0
Growth35.0
Value43.5
Why this score
  • Buying back stock
  • Durable high returns
Entry · Margin of safety
52-week rangeNear 52-week high
17% off the 12-month high
vs DCF fair value40% belowest. fair value ~$50
What the price assumes: free cash flow shrinking about 11% next year, then recovering toward 4% a year by year ten — vs a starting rate of ~-0% our model takes as the middle of three readings — analyst estimates, last year's revenue growth, and the company's own multi-year record.

Model-generatedFrom reported fundamentals, checked against the figures above · Editorial standards

Why now
Computer Hardware · market cap $27.2b. 17% off the 52-week high of $36.23. 17 sell-side analysts publish a mean 1-yr target of $29.66 (implying -2% upside).
Moat
FCF converts 158% of net income — earnings translate cleanly into cash.
Risk
Net margin 4.1% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first.
Horizon
1-3 yr $29.66 (17-analyst consensus) — multiple re-rating thesis requires a catalyst. 5 yr $37.45 at ~4% CAGR — dividend + buyback compounding. 10 yr $48.03 if the moat survives secular pressure.

HPQ vs the Top Picks average

PillarHPQBook avgDiff
Quality8483in line
Growth3589-54
Value4376-33

Average of today's Top 30 (mean score 82.6); size and sector limits also decide the book.

Trend
+3.2 over 80 daily scores
From 47.2 (Jun 22) → 50.4 (now)

One point per daily run; read From → To for the actual range.

HPQ at a glance

THE BULL RANKINGS SCORECARD50.4/ 100 · BULL SCOREPEER MEDIANQUALITY84.0GROWTH35.0VALUE43.5Reverse-DCF · Price implies roughly no growth from here.
PRICE vs OUR DCF FAIR VALUE$46.8$53.2FAIR-VALUE RANGE$30.2PRICEOur DCF fair value ~$50.4 · price $30.2 is 40% below it.
ONE-YEAR MOVE VS ITS BETAFLATThis stock+27%Trailing one-year price change. Price history is not an inputto the Bull Rankings score.
PRICE IN ITS 52-WEEK RANGE$30.2LOW $17.6HIGH $36.2Trading at the 68th percentile of its 52-week range ($17.6–$36.2).

Same audited fundamentals as the score, unless a card says otherwise.

Analyst estimate revisions

30-day change-0.1%
90-day change+4.3%
Forward EPS estimate$3.14

Over the last 90 days, what analysts expect HPQ to earn is drifting higher (+4.3%). The estimate is derived from price and forward P/E captured at the same instant, so a moving share price does not move this number — only a changed forecast does.

Estimates move both ways and are not part of the Bull Rankings score. Biggest movers →

Shares to buy
66
Position size
$1,993
4.0% of portfolio
Stop price
$22.65
25% below $30.20
$ at risk if stopped
$498.30
budget $500.00 · 1% of portfolio

Math only: excludes commissions, slippage and gap risk. Inputs stay in your browser.

HP Inc. (HPQ): score, valuation & FAQ

HP Inc. (HPQ) is a Computer Hardware company that scores 50.4 out of 100 on the Bull Rankings quality-growth model — a middling reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.

Its strongest graded signals are P/E (A), while PEG (D) rate weaker. On valuation, HPQ sits about 40% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow shrinking about 11% next year, then recovering toward 4% a year by year ten.

Is HPQ a good stock to buy?

Bull Rankings scores HPQ 50.4 out of 100 on its quality-growth model, which is a middling reading. That is driven by P/E (A). A score is a quantitative screen of HP Inc.'s fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.

Why does HPQ score 50.4 on Bull Rankings?

The score leans on quality at 84.0 out of 100, with growth the weakest pillar at 35.0 — the three combine geometrically, so a weak one cannot be papered over by a strong one. HPQ earns its highest marks on P/E (A), and is held back by PEG (D). Each signal is graded against sector-aware thresholds rather than one absolute bar, so HPQ is measured against Computer Hardware peers, not against the market as a whole.

Is HPQ overvalued or undervalued?

Based on $30.20, HPQ sits about 40% below our discounted-cash-flow fair value (a margin of safety) — the current price implies free cash flow shrinking about 11% next year, then recovering toward 4% a year by year ten. It trades at an 11.5x P/E (graded A). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.

What are the main risks of investing in HPQ?

Net margin 4.1% is thin — operating leverage cuts both ways; input-cost inflation or pricing pressure hits the bottom line first.

New to these metrics? See the guides and the methodology.

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