Stockchase Opinions

The Weekly Buzzing Stocks by Billy Kawasaki Hewlett-Packard Co HPQ-N TOP PICK Apr 24, 2025

HP Inc. is an information technology company, which engages in the provision of personal computing and other access devices, imaging and printing products, and related technologies, solutions, and services. It operates through the following segments: Personal Systems, Printing, and Corporate Investments. The Personal Systems segment offers commercial and consumer desktop and notebook personal computers, workstations, thin clients, commercial tablets and mobility devices, retail point-of-sale systems, displays and other related accessories, software, support, and services for the commercial and consumer markets.

$25.150

Stock price when the opinion was issued

electrical electronic
It's the ideal tool to help you make quicker, more informed decisions for managing and tracking your investments.

You might be interested:

BUY

They just reported, up 15% this year so far. But the quarter was mixed though mostly beat expectations: sales were a tad light, earnings beat though, excellent cash flow, good operating margin and raised their full-year forecast.

PAST TOP PICK
(A Top Pick Feb 22/23, Up 6%)

Pivoting into the networking space. Buying Juniper Networks. Own it here, south of $28, and just below $27.

BUY ON WEAKNESS

It's not Dell. But they have the new AI PC. Should do well next quarter, not this one.

BUY

HP jumped 30% in May after unveiling a new line of AI PCs--and there's a PC refresh cycle coming fueled by AI. HP could be the first. Also, HP delivered an earnings beat last week.

BUY

Yesterday, they reported a fantastic quarter, making it clear that the build-out of data centres is not done and in fact are in the early innings of AI.

BUY

They lead the coming new cycle in PCS, driven by AI. HP unveiled its line of AI PCs 3 weeks ago, then reported a great quarter. Shares are up 20% in the past month.

premium

🔒 Premium Content Alert – This buzzing stock opinion is accessible only to Premium members

Discover an exclusive list and analysis of the stocks that are trending on social medias—accessible only to our Premium subscribers. With a keen focus on the stocks that are setting social media ablaze, this weekly feature offers an invaluable lens through which to evaluate market movers. Say goodbye to the endless scroll through social media timelines; we curate the buzz so you can invest your time as wisely as your money. Unlock Premium Now.

TOP PICK

HP trades at 11.83x compared to Dell’s 28x. It also pays a 3.18% dividend vs. Dell’s 1.28%. Though the two companies make up half the market’s PC sales, HP says its new line of AI PC’s won’t make a dent in their earnings until the second half of 2024 and particularly 2025. The company’s Q2 total revenue for was $12.8 billion, down slightly from last year's $12.91 billion, but better than the $12.59 billion the street expected.

BUY ON WEAKNESS

They surprised people with that offering, but shares are cheap now at $17.

SELL

The AI PC has disappointed--he expected it to mean more and doesn't expect it to. There are better stocks out there, despite a low 9x PE and 3.64% dividend. Shares are -8% the past month. Nothing will move the needle here.