HP Inc (NYSE: HPQ) reported mixed Q2 results, with earnings missing expectations while revenue topped estimates—and announced a cautious full-year outlook.
Q2 Financial Results
EPS: $0.71 vs. $0.79 estimate (–$0.08)
Revenue: $13.20 B vs. $13.07 B consensus (+1.0% YoY)
The earnings shortfall reflects margin pressure in printing and supply-chain costs, even as combined PC and printing sales held up. To see how HP’s earnings surprises have historically influenced its share price, check the Earnings Historical API.
FY25 Guidance and Street Expectations
EPS Guidance: $3.00–$3.30 vs. $3.50 consensus
Implication: The lower range underscores ongoing cost headwinds and weak pricing power, particularly in the printer supplies segment.
Profitability and Valuation Context
With EPS revisions tilting negative (1 positive vs. 10 negative over 90 days), investors will scrutinize margins and leverage:
Operating Margin: Seek segments where HP can reclaim pricing.
Balance Sheet Strength: Zero net debt in Q2 provides buffer for investments.
To compare HP’s current profitability and leverage against peers in hardware and peripherals, leverage the Ratios (TTM) API, which offers real-time TTM margin and debt ratios.
Stock Performance Snapshot
Closing Price: $27.20
3-Month Return: –11.9%
12-Month Return: –17.1%
Despite the revenue beat, the EPS miss and guidance cut may keep pressure on shares until cost actions translate into margin improvement.