Hewlett-Packard Price Target Cut to $24.00 (HPQ)
Stock analysts at UBS AG lowered their price target on shares of Hewlett-Packard (NYSE:HPQ) from $28.00 to $24.00 in a report issued on Thursday, AnalystRatingsNetwork.com reports. The firm currently has a “neutral” rating on the stock. UBS AG’s price target suggests a potential upside of 7.77% from the company’s current price.
The analysts wrote, “backing off on the prospect of revenue growth in F14.” Fall 2014 EPS has fallen to $3.55 versus an estimated $3.56 in 2013. Further reductions in PCs, printers and enterprise could interfere with HP’s earnings. UBS analysts also note lower free cash flow next year ($7B vs $8B). The analyst notes that positive changes in management will take time and cost reductions in 2014 may “boost to profit of about $0.75[...]Non-financing net debt should be zero by year end, allowing HP to boost the dividend by 10%, at least double the buyback to around $3bn, and begin to acquire again to fill strategic holes.”
A number of other analysts have also recently weighed in on HPQ. Analysts at TheStreet reiterated a “hold” rating on shares of Hewlett-Packard (NYSE:HPQ) in a research note to investors on Friday, September 6th. Separately, analysts at Zacks downgraded shares of Hewlett-Packard (NYSE:HPQ) from an “outperform” rating to a “neutral” rating in a research note to investors on Friday, August 30th. They now have a $24.00 price target on the stock.
Seven analysts have rated the stock with a sell rating, fifteen have assigned a hold rating, six have given a buy rating and one has issued a strong buy rating to the company’s stock. The stock currently has a consensus rating of “Hold” and an average target price of $23.17.
Shares of Hewlett-Packard (NYSE:HPQ) traded down 1.26% on Thursday, hitting $21.99. 17,825,128 shares of the company’s stock traded hands. Hewlett-Packard has a 1-year low of $11.35 and a 1-year high of $27.78. The stock’s 50-day moving average is $24.7 and its 200-day moving average is $23.26. The company’s market cap is $42.419 billion.
Hewlett-Packard (NYSE:HPQ) last posted its quarterly earnings results on Wednesday, August 21st. The company reported $0.86 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.86. The company had revenue of $27.20 billion for the quarter, compared to the consensus estimate of $27.29 billion. During the same quarter last year, the company posted $1.00 earnings per share. Hewlett-Packard’s revenue was down 8.2% compared to the same quarter last year. On average, analysts predict that Hewlett-Packard will post $3.56 earnings per share for the current fiscal year.
In other Hewlett-Packard news, EVP John Schultz sold 12,000 shares of the stock on the open market in a transaction dated Thursday, August 29th. The shares were sold at an average price of $22.32, for a total value of $267,840.00. Following the transaction, the executive vice president now directly owns 33,920 shares of the company’s stock. The sale was disclosed in a filing with the SEC, which is available at this link.
Hewlett-Packard Company (NYSE:HPQ) is a provider of products, technologies, software, solutions and services to individual consumers, small- and medium-sized businesses (SMBs) and large enterprises, including customers in the Government, health and education sectors.
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