KabuDo

NYSE: HPQ · Technology Hardware, Storage & Peripherals

HP Inc.

HP Inc., based in Palo Alto, California, sells personal computers, printers and printing supplies in more than 170 countries. In fiscal 2025 (ended October 31, 2025) revenue rose 3.2% to $55,295 million: Personal Systems $38,532 million (commercial $27,438 million, consumer $11,094 million) and Printing $16,702 million, of which supplies were $10,916 million. Net earnings were $2,529 million and HP returned $1.9 billion to shareholders. Under its Fiscal 2026 Plan announced in November 2025, HP expects to cut about 4,000 to 6,000 jobs while adopting AI. CEO Enrique Lores stepped down in February 2026; board member Bruce Broussard is interim CEO. Buybacks have left stockholders’ equity slightly negative.

Last updated

Analysis last edited: October 25, 2026 · Financial data fetched: October 25, 2026 09:00 (SEC EDGAR) · Source 10-K filed: December 10, 2025

Built on10-K FY2025 · filed 2025-12-1010-Q (quarter ended 2026-07-31) · filed 2026-08-27Proxy statement (2026)

Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.

01

At a glanceFrom SEC data

Eight headline measures, each placed among the companies covered on this site.

Revenue growth
-0.5%

Higher than 6% of 372 non-financial companies

Average yearly growth over the years shown

Operating margin
5.7%

Higher than 16% of 311 non-financial companies

Latest fiscal year (FY2025)

ROIC minus WACC
+25.3 pts

Higher than 91% of 311 non-financial companies

Return on capital above (or below) its estimated cost

Net debt ÷ EBITDA
1.5x

Higher than 45% of 304 non-financial companies

Below 0 means more cash than debt

Cash conversion
1.46x

Higher than 45% of 349 non-financial companies

Operating cash flow ÷ net income

Dividend raises
5 of 5

Years the dividend per share rose, of the last 5

P/E today
11.2x

Latest close 2026-11-04; trailing 12 months to 2026-07-31

Beta
1.10

Above 1 = moves more than the market

Each marker shows where this company sits among the non-financial companies covered on this site, not all listed companies (left = lowest, right = highest). A high position is not automatically good — for net debt ÷ EBITDA, higher means more debt. Details and formulas are in the sections below and in How to read this.

02

Valuation todayFrom SEC data

Price-based measures at the latest close, next to the same measures at the last fiscal year-end.

Share price$29.76close on 2026-11-04

Market cap$27.41B

P/E today
11.2x

At FY2025 year-end: 10.4x

Earnings: trailing 12 months to 2026-07-31

P/B today
—

At FY2025 year-end: —

Book value at FY2025 year-end

EV/EBITDA today
8.2x

At FY2025 year-end: 7.7x

EBITDA for FY2025

FCF yield today
10.2%

At FY2025 year-end: 11.0%

Free cash flow for FY2025

Dividend yield today
3.9%

Dividends per share for FY2025

“Today” uses the latest closing price (2026-11-04, Yahoo Finance daily closing prices) and shares outstanding at the last fiscal year-end. The rest of this page — including the financial table and ROIC vs. WACC — uses fiscal year-end prices. These are reference figures, not a judgment of whether the stock is cheap or expensive.

03

What changed since last earningsFrom SEC data

The latest reported quarter against the same quarter a year earlier, the balance sheet against the previous quarter-end, and what management said in its latest earnings release.

Quarter ended Jul 31, 2026.

  • Revenue↑ +12.5%$13.93B → $15.68B (vs. a year earlier)
  • Operating margin↑ +0.6 pts5.1% → 5.7% (vs. a year earlier)
  • Net income↓ −13.4%$763M → $661M (vs. a year earlier)
  • Diluted EPS↓ −11.3%$0.80 → $0.71 (vs. a year earlier)
  • Cash↑ +12.6%$3.7B → $4.17B (vs. previous quarter-end)
  • Long-term debt↓ −5.2%$9.67B → $9.16B (vs. previous quarter-end)

Source: Form 10-Q ↗ (SEC XBRL). Long-term debt is the tagged long-term debt figure and leaves out short-term borrowings.

From the earnings release of Aug 26, 2026.

Management outlook ↑ Raised

Raised fiscal 2026 EPS and free cash flow outlook. Source sentence
Raising fiscal year 2026 earnings per share ("EPS") and free cash flow outlook

Key changes

  • Q3 net revenue $15.7B, up 12.5%. Source sentence
    HP Inc. and its subsidiaries (“HP”) announced fiscal 2026 third quarter net revenue of $15.7 billion, up 12.5% (up 10.9% in constant currency) from the prior-year period.
  • Personal Systems revenue $11.8B, up 18%. Source sentence
    Personal Systems net revenue was $11.8 billion, up 18% year over year (up 17% in constant currency) with a 4.6% operating margin.
  • Printing revenue $3.9B, down 2%. Source sentence
    Printing net revenue was $3.9 billion, down 2% year over year (down 4% in constant currency) with an 18.1% operating margin.

Written by AI. A line appears only if its figures and direction match the quoted sentence, which an automatic check confirms. Companies' outlooks are their own and may not be met. Read the release ↗

04

Company profileFrom SEC dataShow

Legal name
HP INC
Headquarters
PALO ALTO, CA
Incorporated in
Delaware
Fiscal year end
10/31
Exchange & ticker
NYSE: HPQ
Industry
Technology Hardware, Storage & Peripherals
CIK
47217

Workforce (as of FY2025 year-end)

  • Employees

    55,000

Source: Form 10-K (FY2025) cover page and business description

05

Earnings calendarFrom SEC dataShow

When the company reports each quarter: the quarter-end date, the day results were released, and when the 10-Q or 10-K was filed.

Next report

Q4 FY2026

Quarter end: October 2026. In past years, Q4 results were released 21–26 days after quarter end (Nov 25, 2025; Nov 26, 2024; Nov 21, 2023). No date has been announced in the sources this site uses.

Reporting pattern

  • Fiscal year ends around October 31.
  • Reports four times a year: three quarterly reports (10-Q) and an annual report (10-K) for Q4.
  • Earnings releases came 21–29 days after quarter end over the last 12 quarters.
QuarterQuarter endedEarnings release (8-K)Report filed (10-Q / 10-K)
Q3 FY2026Jul 31, 2026Aug 26, 2026 (+26 days)Aug 27, 2026 10-Q (+27 days)
Q2 FY2026Apr 30, 2026May 27, 2026 (+27 days)May 28, 2026 10-Q (+28 days)
Q1 FY2026Jan 31, 2026Feb 24, 2026 (+24 days)Feb 25, 2026 10-Q (+25 days)
Q4 FY2025Oct 31, 2025Nov 25, 2025 (+25 days)Dec 10, 2025 10-K (+40 days)
Q3 FY2025Jul 31, 2025Aug 27, 2025 (+27 days)Aug 28, 2025 10-Q (+28 days)
Q2 FY2025Apr 30, 2025May 28, 2025 (+28 days)May 29, 2025 10-Q (+29 days)
Q1 FY2025Jan 31, 2025Feb 27, 2025 (+27 days)Feb 28, 2025 10-Q (+28 days)
Q4 FY2024Oct 31, 2024Nov 26, 2024 (+26 days)Dec 13, 2024 10-K (+43 days)
Q3 FY2024Jul 31, 2024Aug 28, 2024 (+28 days)Aug 29, 2024 10-Q (+29 days)
Q2 FY2024Apr 30, 2024May 29, 2024 (+29 days)May 30, 2024 10-Q (+30 days)
Q1 FY2024Jan 31, 2024Feb 28, 2024 (+28 days)Feb 28, 2024 10-Q (+28 days)
Q4 FY2023Oct 31, 2023Nov 21, 2023 (+21 days)Dec 18, 2023 10-K (+48 days)

Source: SEC EDGAR filing history. Release dates are the dates the earnings release was furnished to the SEC on Form 8-K (Item 2.02), which is normally the day results are announced. For a quarter whose 10-Q or 10-K isn’t filed yet, the date is the latest Item 2.02 8-K since the previous report, which may be a preliminary or other results-related update. Fiscal years are labeled by the calendar year in which they end.

06

Flagship products & servicesSite analysis

  • Personal Systems

    Notebooks, desktops and workstations

    Commercial and consumer PCs including AI PCs, workstations, thin clients, retail POS, displays and hybrid systems.

  • Printing

    Printer hardware

    Commercial and consumer printers.

  • Printing

    Supplies

    Ink and toner cartridges protected by Dynamic Security authentication.

From the Form 10-K, FY2025, year ended 2025-10-31.

U.S. and worldwide share of flagship products/services

The 10-K gives no market share or rank for HP.

Reviewed: Form 10-K (FY2025, year ended 2025-10-31) · Form 10-Q (quarter ended 2026-07-31)

07

Recent strategic focusSite analysis

Recent developments.

  1. Fiscal 2025 results

    Revenue $55,295M (+3.2%); operating income $3,174M; net earnings $2,529M; EPS $2.65.

    Source: Form 10-K (FY2025, year ended 2025-10-31)

  2. Q3 FY2026

    Revenue $15,677M versus $13,932M; net earnings $661M versus $763M; diluted EPS $0.71.

    Source: Form 10-Q (quarter ended 2026-07-31)

  3. Leadership

    Enrique Lores stepped down as CEO on February 2, 2026; Bruce Broussard became interim CEO.

    Source: Form 8-K (2026-02-03) — Items 2.02/5.02 CEO departure and interim CEO

  4. Fiscal 2026 Plan

    Announced November 2025 to use AI to drive productivity, with an expected headcount reduction of about 4,000 to 6,000.

    Source: Form 10-K (FY2025, year ended 2025-10-31)

Capex ÷ D&A (FY2025)

0.98x

Roughly matches depreciation — mostly maintenance/replacement

formulacapital expenditures ÷ depreciation & amortization

e.g.$897M ÷ $916M = 0.98x

termsCapital expenditures (capex) · Depreciation & amortization (D&A)

R&D-to-revenue ratio (FY2025)

2.9%

formularesearch & development expense ÷ revenue × 100

e.g.$1,602M ÷ $55,295M × 100 = 2.9%

termsResearch & development (R&D) · Revenue (net sales)

M&A spend (6-year total)

$3.79B

Latest year: $116M

Cash-flow-statement spending on acquisitions, net of cash acquired

Where the money goes, over time

Unit: $M. Capex went from $580M in FY2020 to $897M in FY2025

  • Capex
  • R&D
  • M&A spend

formulacapital expenditures ÷ depreciation & amortization

termsCapital expenditures (capex) · Depreciation & amortization (D&A)

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

08

Key figures at a glanceFrom SEC data

FY2020–FY2025, 6 years.

Revenue (FY2025)

$55.3B

As reported in the 10-K

Revenue CAGR (5 years)

-0.5%▼caution

formula(last-period revenue ÷ first-period revenue) ^ (1 ÷ years) − 1

e.g.($55,295M ÷ $56,639M) ^ (1÷5) − 1 = -0.5%

termsCAGR · ^ (exponent) · Revenue (net sales)

Operating margin (FY2025)

5.7%

-0.4pt vs. 5 years ago

formulaoperating income ÷ revenue × 100

e.g.$3,174M ÷ $55,295M × 100 = 5.7%

termsOperating income · Revenue (net sales)

ROE (FY2025)

—▼caution

6-year average: —

As reported in the 10-K

P/B (FY2025 end)

—

formulafiscal year-end closing price ÷ book value per share

termsP/B · BVPS

Period-end (fiscal year-end) value, not today's P/B

EV/EBITDA (FY2025 end)

7.7x

formula(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)

e.g.($25,484M + $9,723M − $3,690M) ÷ ($3,174M + $916M) = 7.7x

termsEV/EBITDA · Market capitalization · Interest-bearing debt · EBITDA · Depreciation & amortization (D&A)

Period-end (fiscal year-end) value, not today's multiple

  • ▼

    Revenue grew -0.5% a year over 5 years (a shrinking trend)

    From $56.64B in FY2020 to $55.3B in FY2025. The annualized rate (CAGR) makes it possible to compare growth pace across companies of different sizes.

  • ―

    Operating margin held roughly flat: 6.1% → 5.7%

    How much operating profit is left per $100 of revenue. It moved -0.4 points over 5 years — pricing power, cost control, and product mix all show up here.

  • ▼

    Equity ratio is -0.8% (relatively heavy reliance on debt)

    The share of total assets funded by equity rather than debt. 50%+ is often read as low bankruptcy risk, though the right level varies by industry (real estate and leasing run lower, for instance).

  • ▲

    Free cash flow was positive in 6 of 6 years

    Operating cash flow minus capital expenditures: the cash left over after funding the business’s own investment, available for dividends, buybacks, acquisitions, or debt paydown. A negative year can mean heavy investment, or weak core earnings — worth distinguishing.

09

Business modelSite analysis

Sells notebooks, desktops, workstations, displays and printers through channel partners and directly, and earns recurring revenue from ink and toner supplies and services.

How money and goods flow at HP Inc.
  1. 01 what it draws on

    Inputs & resources

    • About 55,000 employees
    • Contract manufacturers and component suppliers
    • Global channel partner network
  2. 02 what it does

    Activities

    • Commercial and consumer Personal Systems
    • Commercial and consumer printing hardware
    • Supplies (ink, toner)
    • Services and subscriptions
  3. 03 who it serves

    Customers

    • Businesses, governments and consumers worldwide
  4. 04 how money comes in

    How it earns

    • Commercial PS $27,438M
    • Consumer PS $11,094M
    • Supplies $10,916M
    • Commercial Printing $4,633M
    • Consumer Printing $1,153M (FY2025)

How the business makes money

  • U.S. revenue $19,212M; other countries $36,083M (FY2025).
  • Share repurchase authorization raised to $10.0B in August 2024.
  • Supplies revenue declined from $11,452M (FY2023) to $10,916M (FY2025).

Government & regulation around the business

Non-market factors from the company’s filings: what governments and regulators fund, buy, set, approve or restrict, and which part of the flow above each one touches.

HP’s government sales depend on congressional funding; it is diversifying its supply chain against trade risk.

  • Government as customer

    Government customers

    U.S. government contracts depend on congressional funding, which can be delayed.

    Supports and constrainsTouches: Customers · How it earns

    Source: Form 10-K (FY2025)

  • Trade & export rules

    Supply-chain diversification

    Diversifying manufacturing and supply chain footprint, which requires significant investment and time.

    Supports and constrainsTouches: Inputs & resources

    Source: Form 10-K (FY2025)

  • Environmental rules

    Climate laws

    Increasingly subject to climate laws such as carbon pricing.

    Constrains the businessTouches: Inputs & resources

    Source: Form 10-K (FY2025)

Revenue by segment (FY2025 (year ended Oct 31, 2025))

Unit: $M — bar length = revenue, (%) = share of total company revenue

  • Commercial PS

    27,438 (50%)
  • Consumer PS

    11,094 (20%)
  • Supplies

    10,916 (20%)
  • Commercial Printing

    4,633 (8%)
  • Consumer Printing

    1,153 (2%)

Source: Form 10-K (FY2025, year ended 2025-10-31) Business unit net revenue in Personal Systems ($38,532M) and Printing ($16,702M); Corporate Investments and eliminations make up the rest of $55,295M.

10

Where it earnsSite analysis

Many U.S.-listed companies earn most of their revenue outside the U.S. — this breaks down revenue by country/region so it's clear where the business actually makes its money.

Largest market (FY2025 (year ended Oct 31, 2025))

Other countries — 65% of revenue

Revenue by country / region (FY2025 (year ended Oct 31, 2025))

Unit: $M — bar length = revenue, (%) = share of total company revenue

  • United States

    19,212 (35%)
  • Other countries

    36,083 (65%)

Source: Form 10-K (FY2025, year ended 2025-10-31) No country other than the U.S. is above 10% of revenue.

11

Contract structureSite analysisShow

Short-term or spot sales carry different earnings quality than long-term or auto-renewing contracts — this shows how the company actually contracts with its customers.

12

Customers & suppliersSite analysis

Who the company sells to and buys from. Companies rarely name either, so named counterparties come only from the company's own filings and press releases; otherwise this lists the concentration figures the 10-K discloses.

Customers

Businesses, governments and consumers, largely through channel partners.

Named by the company

No single customer was 10% or more of net revenue in fiscal 2024 or 2023.

Suppliers

Contract manufacturers and component suppliers.

Named by the company

No single supplier is named as material.

13

Competitors & peersSite analysis

Competitors the 10-K names, and the peer group the company itself chose in its proxy statement. Nothing here is this site's own pick.

The 10-K names primary competitors in personal systems and printing.

Competitors named in the 10-K

Personal Systems

Printing

Source: Form 10-K (FY2025, year ended 2025-10-31)

Company names link to this site’s analysis where one exists; “site ↗” opens the company’s own website.

14

Six years of financialsFrom SEC data

Each chart's axis holds a single unit (never mixing dollars, %, and $/share). The table's per-period header links to the filing the numbers came from.

Revenue over time

Unit: $M

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Profit over time (operating → net)

Unit: $M

  • Operating income
  • Pretax income
  • Net income

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Margins over time

Unit: %

  • Operating margin
  • Net margin

formulaoperating income ÷ revenue × 100

termsOperating income · Revenue (net sales)

formulanet income attributable to the company ÷ revenue × 100

termsNet income (attributable to the company)

Cash flow over time

Unit: $M (below zero = cash went out)

  • Operating CF
  • Investing CF
  • Free CF

formulacash flow from operations − capital expenditures

termsFree cash flow (FCF) · Cash flow from operations (operating CF) · Capital expenditures (capex)

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Financial stability & capital efficiency

Unit: %

  • Equity ratio

formulatotal equity ÷ total assets × 100 (as reported in the 10-K)

termsStockholders’ equity · Total assets

formulanet income ÷ average equity (beginning + ending, ÷2) × 100 (as reported in the 10-K)

termsNet income (attributable to the company) · Stockholders’ equity

Earnings per share (EPS) and dividend per share

Unit: $

  • EPS
  • Dividend per share

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Line itemFY202010-K on EDGAR ↗FY202110-K on EDGAR ↗FY202210-K on EDGAR ↗FY202310-K on EDGAR ↗FY202410-K on EDGAR ↗FY202510-K on EDGAR ↗
Income statement ($M)
Revenue56,63963,46062,91053,71853,55955,295
Operating income3,4625,3594,5593,4563,8183,174
Pretax income3,2317,5684,3242,9373,2792,668
Net income (attributable)2,8446,5413,1323,2632,7752,529
Revenue growthcalc(this year’s revenue − last year’s revenue) ÷ last year’s revenue × 100—12.0%-0.9%-14.6%-0.3%3.2%
Operating margincalcoperating income ÷ revenue × 1006.1%8.4%7.2%6.4%7.1%5.7%
Net margincalcnet income attributable to the company ÷ revenue × 1005.0%10.3%5.0%6.1%5.2%4.6%
Balance sheet ($M)
Total assets34,68138,61038,49437,00439,90941,769
Total equity-2,275-1,644-3,025-1,069-1,323-346
Interest-bearing debtSum of short- and long-term borrowings, notes/bonds payable6,2617,57311,1909,6129,7489,723
Equity ratio-6.6%-4.3%-7.9%-2.9%-3.3%-0.8%
Cash flow ($M)
Operating CF4,3166,4094,4633,5713,7493,697
Investing CF-1,016-1,012-3,549-590-646-1,177
Financing CF-2,973-5,962-2,068-2,894-3,082-2,060
Free cash flowcalccash flow from operations − capital expenditures3,7365,8273,6982,9783,1572,800
Cash and equivalents4,8644,2993,1453,1073,2383,690
Per share & other
EPS ($)2.005.362.983.262.812.65
BVPS ($)-1.74-1.51-3.09-1.08-1.41-0.38
Dividend per share ($)0.700.781.001.051.101.16
Payout ratiocalcdividend per share ÷ diluted EPS × 10035.0%14.6%33.6%32.2%39.1%43.8%
P/E (x)9.05.79.38.112.610.4
EV/EBITDA (x)calc(market cap + interest-bearing debt − cash and equivalents) ÷ (operating income + depreciation & amortization)5.85.96.67.68.67.7

Figures without a "calc" tag are as reported in the Form 10-K (the consolidated financial statements and, for older years, earlier 10-Ks), pulled automatically from SEC EDGAR. Where a later filing restated a prior period, the restated figure is used.

Last 8 quarters

Three-month figures from 10-Q filings. Change is versus the same quarter a year earlier. Newest quarter on top.

Quarter endedRevenueOperating incomeNet incomeDiluted EPS
2026-07-31$15.68B+12.5%$892M+24.6%$661M-13.4%$0.71
2026-04-30$14.41B+9.0%$612M-6.4%$450M+10.8%$0.49
2026-01-31$14.44B+6.9%$759M-10.2%$545M-3.5%$0.58
2025-10-31 †$14.64B+4.2%$959M-3.2%$795M-12.3%—
2025-07-31$13.93B$716M$763M$0.80
2025-04-30$13.22B$654M$406M$0.42
2025-01-31$13.5B$845M$565M$0.59
2024-10-31 †$14.06B$991M$906M—

† Fourth quarter = the 10-K’s annual figure minus the first three quarters; quarterly EPS isn’t derived this way because share counts change during the year.

15

Is ROIC above WACC?From SEC data

ROIC (the return on money invested in the business) above WACC (the cost of raising that money) means the company is creating value. WACC is an estimate, so its assumptions can be adjusted below.

ROIC (FY2025)

34.4%

formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)

e.g.$3,174M × (1 − 3.5%) ÷ $8,901M × 100 = 34.4%

termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity

WACC (this site’s estimate)

9.14%

formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight

e.g.Equity weight: $25.48B ÷ ($25.48B + $9.72B) = 72.4%

e.g.Debt weight: $9.72B ÷ ($25.48B + $9.72B) = 27.6%

e.g.WACC: 11.0% × 72.4% + 4.4% × (1 − 3.5%) × 27.6% = 9.14%

termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization

ROIC − WACC

+25.3pt▲favorable

Earning more than the cost of capital (ROIC > WACC in 6 of 6 years)

formulaROIC − WACC (positive means the business earns more than its cost of capital)

termsROIC · WACC

How firm is this? With the equity risk premium ±1 point and beta ±0.2, WACC runs 7.7%–10.9% and ROIC − WACC runs +23.5 to +26.7 points. The sign holds across this range. This describes the latest year and does not predict future value creation.

WACC 9.14% is this site’s estimate under the assumptions below (not a figure the company has published)

Risk-free rate
4.95% (10-year Treasury, 2026-11-03)
β
1.10 (price-derived adjusted beta)
Equity risk premium
5.5%
Cost of equity
11.00%
Cost of debt
4.42%
Tax rate
3.5% (effective rate, FY2023–FY2025)
Capital structure (equity : debt)
72% : 28%
→ Change assumptions and recalculate

ROIC over time, vs. WACC

Unit: % — bars = each period's ROIC, horizontal line = latest WACC. Bars above the line are green, below are red

  • ROIC (above WACC)
  • ROIC (below WACC)
  • WACC 9.14%

formulaoperating income × (1 − tax rate) ÷ invested capital × 100 *invested capital = interest-bearing debt + total equity (average of beginning/ending)

termsOperating income · Effective tax rate · Invested capital · Interest-bearing debt · Total equity

formulacost of equity × equity weight + cost of debt × (1 − tax rate) × debt weight

termsCost of equity · Equity weight (E/(D+E)) · Cost of debt · (1 − tax rate) · Debt weight (D/(D+E)) · Market capitalization

Try different WACC assumptions

β and the equity risk premium are estimates with a real range of plausible values — move the sliders to check whether ROIC > WACC still holds. The risk-free rate starts at the 10-year Treasury yield on 2026-11-03 (U.S. Treasury).

Initial β: 1.10 (price-derived adjusted beta. Raw β 1.15, R² 0.19, 130 weeks)

formula0.67 × β + 0.33 (β = the slope of weekly stock returns regressed on weekly market returns)

e.g.0.67 × 1.145 + 0.33 = 1.097

termsβ (beta)

Period 2024-05-10–2026-11-04, using S&P 500 ETF (SPY) as the market proxy. Source: Yahoo Finance price history.

Cost of equity11.00%

formularisk-free rate + β × equity risk premium

e.g.5.0% + 1.1 × 5.5% = 11.0%

termsCAPM · Risk-free rate · β (beta) · Equity risk premium (market risk premium)

Market value of equity$25.48B

formulafiscal year-end closing price × shares outstanding (= market cap)

termsMarket capitalization · Market value of equity

Interest-bearing debt$9.72B
Cost of debt4.42%

formulainterest expense ÷ interest-bearing debt × 100 (clamped to 0–10%; falls back to the risk-free rate if there’s no debt)

termsInterest-bearing debt · Risk-free rate

Capital structure (equity weight : debt weight)72% : 28%

16

What the price implies (DCF)From SEC data

A company's value can be written as its free cash flow divided by (cost of capital − perpetual growth). Working that backwards from the market's valuation shows how much growth the share price assumed — compared here with the company's actual past growth.

Growth the price implies (price on 2026-11-04)

0.8%

Perpetual FCF growth: g = r − FCF ÷ EV = 9.1% − 8.4%

Past FCF growth (FY2020–FY2025)

-5.6%

Compound annual rate, 5 years

Past revenue growth (FY2020–FY2025)

-0.5%

Compound annual rate, 5 years

Inputs (FY2025): free cash flow $2.8B (operating CF − capex); enterprise value $33.44B = market cap $27.41B (latest close, 2026-11-04) + debt $9.72B − cash and short-term investments $3.69B; r = WACC of 9.1% using this page’s default assumptions (β 1.10, risk-free 5.0%, market premium 5.5%).

Three WACC scenarios

The same calculation under cautious, base and optimistic cost-of-capital assumptions (risk-free rate fixed at the 10-year Treasury yield). Pick one to load it into the sliders below.

Try your own assumptions

V = FCF ÷ (r − g). It starts at the implied growth rate, where the theoretical value equals today’s enterprise value.

Theoretical enterprise value

$33.73B

FCF $2.8B ÷ (9.1% − 0.8%)

Theoretical ÷ actual enterprise value

1.01x

Above 1x: these assumptions value the business above the market did

How sensitive the answer is

Theoretical ÷ actual enterprise value for each combination of r and g.

g \ r7.1%8.1%9.1%10.1%11.1%
0%1.18x1.03x0.92x0.83x0.75x
2%1.64x1.37x1.18x1.03x0.92x
4%2.70x2.04x1.64x1.37x1.18x
6%7.61x3.99x2.70x2.04x1.64x
8%—83.73x7.61x3.99x2.70x

A simplified model for seeing what the market price assumes, not a forecast or a target price. It treats free cash flow as growing at one constant rate forever; the result swings widely with small changes in r and g, and is undefined when g reaches r. Free cash flow here is operating cash flow minus capex, which is after interest — a full DCF of enterprise value would use cash flow before interest. Market cap uses the latest close (2026-11-04) × shares at fiscal year-end; free cash flow and WACC inputs are from the latest fiscal year.

17

Earnings qualityFrom SEC dataShow

The same reported profit can mean different things depending on whether it's backed by cash, driven by the core business, or the result of a one-off item. Four checks below.

  • ✓

    Operating CF ÷ net income: averages 1.30x

    Profit is backed by cash coming in.

  • ✓

    Accrual ratio (latest): -2.9%

    A small share of profit rests on accounting estimates.

  • ✓

    Core-earnings share (operating income ÷ pretax income): 119%

    Most profit comes from core operations.

  • ✓

    Days sales outstanding: 35 → 36 days

    No major slowdown in collecting on sales.

Operating CF vs. net income

Unit: $M — operating CF above net income means profit is backed by cash

  • Operating CF
  • Net income

formulacash flow from operations ÷ net income attributable to the company

termsCash flow from operations (operating CF) · Net income (attributable to the company)

formula(net income − operating CF) ÷ average total assets × 100

termsNet income (attributable to the company) · Cash flow from operations (operating CF) · Total assets

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Profit bridge (FY2025)

Unit: $M — what moved profit from operating income to net income

  • Profit (each stage)
  • Pushed profit up
  • Pushed profit down

formulaoperating income ÷ income before income taxes × 100

termsOperating income · Income before income taxes (pretax income)

Source: each period's Form 10-K (SEC EDGAR). Latest: filed 2025-12-10

Receivables & inventory days

Unit: days — days grow when receivables or inventory build up faster than sales

  • Days sales outstanding
  • Days inventory outstanding

formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365

termsAccounts receivable · Revenue (net sales)

formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365

termsInventory · Cost of revenue (COGS)

Worked examples (latest period)

formulacash flow from operations ÷ net income attributable to the company

e.g.$3,697M ÷ $2,529M = 1.46x

termsCash flow from operations (operating CF) · Net income (attributable to the company)

formulaoperating income ÷ income before income taxes × 100

e.g.$3,174M ÷ $2,668M × 100 = 119%

termsOperating income · Income before income taxes (pretax income)

formulaaverage receivables (opening + closing ÷ 2) ÷ revenue × 365

e.g.($5,117M + $5,692M) ÷ 2 ÷ $55,295M × 365 = 36 days

termsAccounts receivable · Revenue (net sales)

formulaaverage inventory (opening + closing ÷ 2) ÷ cost of revenue × 365

e.g.($7,720M + $8,512M) ÷ 2 ÷ $43,903M × 365 = 67 days

termsInventory · Cost of revenue (COGS)

18

Who holds the sharesFrom SEC dataShow

How much of the stock large institutional investors report owning on SEC Form 13F, how much the directors and executive officers hold (and how much of the vote they control), and roughly how much is left for individual investors. Shown next to beta so the holder mix can be read alongside how much the stock swings.

Institutions, insiders and everyone else, 13F holdings as of 2026-06-30

“Everyone else” is what remains after shares reported on Form 13F and shares held by directors and executive officers: mostly individual investors, plus non-insider families or foundations and smaller or foreign institutions. The figures have different dates and 13F reports count some shares twice — read it as an approximate split.

Held by 13F filers
91.6%
Directors & officers (shares)
<1%
Everyone else (est.)
8.4%

individuals and other non-13F holders

Directors & officers (voting power)
<1%

no separate voting figure; shown as shares

Institutional-ownership rank
168 of 416

1 = most institutional; 40% of covered companies have more

Beta (adjusted)
1.10

above 1 = swings more than the market

  • 837.9M shares reported by 1,079 13F filers ÷ 914.5M shares outstanding on 2026-05-20. Option positions are excluded.
  • Directors and executive officers as a group, from the proxy statement’s beneficial-ownership table; includes shares they can acquire within 60 days.
  • A large “everyone else” share can still reflect a family, trust or foundation stake held outside the board; check the proxy statement’s 5% holders.

Sources: SEC Form 13F data set (holdings as of 2026-06-30) · Form DEF 14A filed 2026-02-25 (beneficial ownership table) · Form 10-Q cover page (shares outstanding as of 2026-05-20)

19

Strengths & weaknessesSite analysis

Strengths

  1. 1. Commercial PC growth

    Commercial PS revenue rose 7.7% to $27,438M in fiscal 2025.

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

  2. 2. Cash returns

    Returned $1.9B in fiscal 2025 ($1.1B dividends, $0.8B buybacks); dividend per share rose every year from $0.70 to $1.16.

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

  3. 3. Q3 FY2026 growth

    Revenue $15,677M versus $13,932M.

    Evidence: Form 10-Q (quarter ended 2026-07-31)

Weaknesses

  1. 1. Printing decline

    Printing revenue fell from $18,029M (FY2023) to $16,702M (FY2025).

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

  2. 2. Negative equity

    Stockholders’ deficit of $346M at October 31, 2025.

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

  3. 3. Margin pressure

    Gross margin fell to 20.6% in fiscal 2025 from 22.1%; Q3 FY2026 net earnings $661M versus $763M.

    Evidence: Form 10-Q (quarter ended 2026-07-31)

20

What draws investors to itSite analysis

Why the stock can look attractive to investors — each point paired with what has to hold for it to stay true, and the opposing view. This is this site's analysis, not a recommendation to buy or sell.

P/E (FY2025)

10.4x

Price at fiscal year-end ÷ diluted EPS

Dividend yield (FY2025)

4.19%

Dividends per share ÷ fiscal year-end price

Payout ratio (FY2025)

44%

Dividends per share ÷ diluted EPS

FCF yield (FY2025)

11.0%

(Operating CF − capex) ÷ market cap

  1. 1. Shareholder returns

    Rising dividends and a $10.0B buyback authorization.

    What has to hold
    Cash flow stays near $3.5–4B.
    The other side
    Negative equity.

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

  2. 2. Commercial PC cycle

    Commercial PS growth.

    What has to hold
    Demand holds.
    The other side
    Memory costs.

    Evidence: Form 10-K (FY2025, year ended 2025-10-31)

Fiscal years end October 31. Book value per share is negative because of the stockholders’ deficit.

21

ResilienceSite analysisShow

How well the company could absorb a bad year: its financial buffer, how its revenue and profit held up in the worst year on record, and what the 10-K says about the business's exposure to shocks. Figures and filing statements only — no overall rating.

1. Financial buffer (FY2025)

Cash & short-term investments ÷ debt due within a year

4.4x

$3.69B vs. $845M

Interest coverage (operating income ÷ interest expense)

7.4x

$3.17B vs. $430M

Free cash flow ÷ dividends paid

2.6x

$2.8B vs. $1.09B (FCF = operating CF − capex)

2. Worst year in the record, and the recovery

FigureWorst year-over-year changeBack to the prior level?
Revenue-14.6% in FY2023 ($62.91B → $53.72B)Not yet, as of FY2025
Operating income-24.2% in FY2023 ($4.56B → $3.46B)Not yet, as of FY2025

Covers only the 6 fiscal years on record (FY2020–FY2025), which may not include a full recession — the worst year here isn’t necessarily how the company would fare in a severe downturn.

3. Business resilience (from the 10-K)

  • Profitable every year

    Net earnings stayed between $2.5B and $6.5B in every year 2020–2025.

    Source: Form 10-K (FY2025, year ended 2025-10-31)

23

Risks (including geopolitical)Site analysis

Starting from the 10-K's Risk Factors section, organized by category — geopolitical, currency, raw materials, regulatory, disaster, and more — with impact and likelihood assessed by this site.

Risk map

Vertical = impact on results, horizontal = likelihood. Upper right = most severe. Numbers match the list below (placement is this site’s own assessment).

Impact
High
Med
45
123
Low
LowMedHigh

Likelihood →

"Company disclosure" vs. "this site’s assessment"

The description and mitigation for each risk are this site’s summary of the 10-K’s "Risk Factors" section. Impact and likelihood are this site’s own assessment, not the company’s — where the company discloses its own likelihood assessment, that is noted in the summary.

Impact is judged from how large the affected business is relative to total revenue/profit, and from the risk’s track record of moving results in the past. Likelihood is judged from the filing’s wording and the current business environment (already occurring, or recurring). See the rating criteria.

  1. 1Supply chain

    Memory and component costs

    Company disclosure (summarized from the 10-K)
    Rising memory and storage costs, supply constraints and component shortages.
    Company’s stated mitigation
    Not stated in the filings.
    This site’s assessment
    Impact Med / Likelihood High
  2. 2Competition & technology shift

    PC and printing competition

    Company disclosure (summarized from the 10-K)
    Competes with Lenovo, Dell, Apple and others in PCs and with Canon, Epson, Brother and others in printing; clone supplies.
    Company’s stated mitigation
    We continue to invest in innovation in both the areas where we believe we can make a unique contribution and where strategic partnerships will leverage our cost structure and maximize our customers’ experiences.
    This site’s assessment
    Impact Med / Likelihood High
  3. 3Geopolitics & supply chain

    Trade policy

    Company disclosure (summarized from the 10-K)
    Global trade policies and tariffs affect costs.
    Company’s stated mitigation
    Not stated in the filings.
    This site’s assessment
    Impact Med / Likelihood High
  4. 4Governance & key people

    CEO search

    Company disclosure (summarized from the 10-K)
    Interim CEO since February 2026 while the Board searches for a permanent CEO.
    Company’s stated mitigation
    Not stated in the filings.
    This site’s assessment
    Impact Med / Likelihood Med
  5. 5Law & regulation

    Dynamic Security litigation

    Company disclosure (summarized from the 10-K)
    Lawsuits and investigations over printer firmware that blocks clone cartridges.
    Company’s stated mitigation
    Not stated in the filings.
    This site’s assessment
    Impact Med / Likelihood Med

24

What changed in the risk factorsFrom SEC data

Paragraphs in the latest 10-K's Risk Factors that have little overlap with the year before, and paragraphs that were dropped.

New or substantially reworded (3)

  • • International trade restrictions . Restrictions on international trade, such as tariffs and other controls on imports or exports of goods, technology or data have and may continue to, materially adversely affect our supply chain. Read more

    The impact has been particularly significant for the restrictive measures that apply to countries and regions where we have significant supply chain operations. Restrictive measures have and may continue to increase the cost of our products and the components and raw materials that go into them, and can require us to take various actions, including changing suppliers, restructuring business relationships and operations, and ceasing to offer and distribute affected products and services. Changing our business model and supply chain to comply with and seek to offset the impact of new or revised trade restrictions has been, and may continue to be, expensive,…

  • Since April 2025, new, substantial tariffs have been imposed on imports to the United States. Read more

    In response, several countries have imposed, or threatened to impose, reciprocal tariffs on imports from the United States and other retaliatory measures. As a result, during fiscal 2025, we experienced higher commodity and tariff costs, which were not fully mitigated by pricing and other actions enacted during the period. Should these or other proposed tariffs, including potential retaliatory actions imposed by other countries, be implemented and sustained for an extended period of time, as proposed, enacted or otherwise, they may have a significant adverse impact to our results of operations and cash flows to the extent our efforts do not fully mitigate the effects of such tariffs. There can be no assurance that we will be able to successfully offset or mitigate these impacts. Additionally,…

  • supply chain to comply with and offset the impact of new or revised trade restrictions has in the past and could in the future be expensive, time-consuming and disruptive to our business.

No longer in the text (4)

  • We have identified a material weakness in our internal control over financial reporting that could, if not remediated, result in material misstatements in our financial statements and cause us to fail to meet our reporting and financial obligations.

  • As more fully disclosed in Item 9A, “Controls and Procedures,” under the supervision and with the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures and internal control over financial reporting. Based on that evaluation, we have concluded that our disclosure controls and procedures were not effective as of October 31, 2024 due to a material weakness in internal control over financial reporting. A material weakness is a deficiency, or a combination of deficiencies, in our internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of the Company’s annual or interim financial statements will not be prevented or detected on a timely basis.

  • We identified a material weakness in internal control over financial reporting that resulted from undue reliance on information generated from certain software solutions affecting various financial statement accounts without effectively designed and operating IT general controls, specifically around user access, change management and job schedule monitoring IT operations. This material weakness did not result in any material misstatement of our financial statements. While this material weakness did not result in a material misstatement of our financial statements, this control deficiency was not remediated as of October 31, 2024 and there is a reasonable possibility that it could have resulted in a material misstatement in the Company's annual or interim consolidated financial statements that would not be detected. Accordingly, we have determined that this control deficiency constituted…

  • We can give no assurance that additional material weaknesses will not arise in the future. Read more

    Any failure to remediate the material weakness, or the development of new material weaknesses in our internal control over financial reporting, could result in material misstatements in our financial statements and cause us to fail to meet our reporting and financial obligations, which in turn could have a negative impact on our financial condition, results of operations or cash flows, restrict our ability to access the capital markets, require significant resources to correct the material weaknesses or deficiencies, subject us to fines, penalties or judgments, harm our reputation or otherwise cause a decline in investor confidence and cause a decline in the market price of our stock.

Matched automatically, quoted as filed, and may include rewording of an existing risk. Compares Item 1A of the 10-K filed Dec 10, 2025 ↗ with the 10-K filed Dec 13, 2024 ↗.

25

What to watch going forwardSite analysis

  • Appointment of a permanent CEO.
  • Memory cost inflation and PC margins.
  • Printing and supplies trend.
  • Execution of the Fiscal 2026 Plan (4,000–6,000 job cuts).

26

Source documentsShow

This page's financial figures come from the Form 10-Ks listed below. Check the original filings for full detail.

Last updated

Analysis last edited: October 25, 2026 · Financial data fetched: October 25, 2026 09:00 (SEC EDGAR) · Source 10-K filed: December 10, 2025

Built on10-K FY2025 · filed 2025-12-10Proxy statement (2026)

Next update expectedAfter FY2026’s 10-K is filed (roughly 60–90 days after fiscal year end (sooner for larger filers)), financials and analysis will be refreshed.

This page is this site’s own analysis based on public information, and does not represent HP Inc.’s views. It is not a recommendation to buy or sell any security, and this site does not guarantee the accuracy of any figure or statement here. Always verify against the original source documents before making an investment decision.