Analysts bumped up price targets on HP Inc post Q4 beat.
BofA analyst Wamsi Mohan raised the price target to $33 from $29, implying fair-priced, and reiterated an Underperform.
HP reported fiscal Q4 results that beat Street consensus estimates.
Better-than-expected average selling prices for Personal Systems, where supply constraints helped HP price more competitively, and a higher contribution from commercial PCs/peripherals having improved the mix.
While Mohan notes that HP management expects higher PC revenues in FY22, he remains cautious on a bounce-back in PC unit sales given tougher comps linked to work from home-related purchasing during the pandemic.
Deutsche Bank analyst Sidney Ho raised the price target to $36 from $32, implying an 11.8 percent upside, and maintained a Hold following the “solid” fiscal Q4 results and Q1 guidance.
HP showed improved execution on the supply chain and a continued healthy demand environment in both its businesses, particularly on the enterprise side.
Wells Fargo analyst Aaron Rakers raised the price target to $35 from $30, implying 8.7 percent upside, and affirmed an Equal Weight.
The analyst notes HP reported upbeat Q4 results and guidance. The company benefited from a sharp increase in PC ASPs as it directed supply-constrained inventory toward commercial and high-end consumer units.
