---
title: HP (HPQ) — intrinsic value and fair price
canonical: https://sweetvaluelab.com/stocks/hpq
ticker: HPQ
as_of: 2026-10-17
sector: Technology
industry: Computer Hardware
---
# HP (HPQ)

HP (HPQ) closed at $30.01 on Oct 16, 2026, undervalued by 41% vs its model value of $51.10 (from a five-year discounted cash flow).

## Key figures

| Figure | Value |
| --- | ---: |
| Last close | $30.01 (Oct 16, 2026) |
| Model value (from a five-year discounted cash flow) | $51.10 |
| Price vs model | undervalued by 41% vs model |
| Range of that model | $33.81 – $103.12 |
| Market value | $27.1B |
| P/E (fiscal 2025) | 11.3 |
| Net margin (fiscal 2025) | 4.6% |
| Free cash flow (fiscal 2025) | $2.8B |
| Dividend yield (trailing twelve months) | 4.00% |
| Beta | 1.19 |
| Cost of capital (WACC) | 8.46% |
| Business classification | Dividend Payer (Low/slowing growth (~1% recent), Thin margins (4.6% net margin), Strong dividend yield, Highly cyclical earnings, High leverage (D/E 5.0x), Strong FCF yield (10.3%)) |

## On the stock lists

| List | Place | Figure | Page |
| --- | ---: | ---: | --- |
| Highest free cash flow yield | #32 | 10.3% | https://sweetvaluelab.com/lists/highest-free-cash-flow-yield |
| Lowest P/E | #28 | 11.3× | https://sweetvaluelab.com/lists/lowest-pe |

## Dividends

| Figure | Value |
| --- | ---: |
| Trailing dividend yield | 4.00% |
| Dividends per share, last 12 months | $1.20 |
| Dividends / free cash flow (fiscal 2025) | 38.9% |
| Raised | 15 years in a row |
| Growth over 5 years | 9.1% a year |
| Latest payment | $0.30, ex-date Sep 9, 2026, paid Oct 7, 2026 |

| Year of payments | Dividends per share |
| --- | ---: |
| To Sep 7, 2021 | $0.78 |
| To Sep 13, 2022 | $1.00 |
| To Sep 12, 2023 | $1.05 |
| To Sep 11, 2024 | $1.10 |
| To Sep 10, 2025 | $1.16 |
| Trailing twelve months (to Sep 9, 2026) | $1.20 |

## Valuation models

Each model's value per share and the role the engine gave it for this business. The headline above is one model's value; every other model is listed with its own, and each has a page of its own under the valuation. Computed Oct 17, 2026.

| Model | Role | Value per share | Low | High |
| --- | --- | ---: | ---: | ---: |
| DCF · Perpetuity growth · 5y | primary | $51.10 | $33.81 | $103.12 |
| DCF · Perpetuity growth · 10y | cross check | $48.97 | $33.65 | $94.06 |
| DCF · EBITDA exit · 5y | cross check | $29.58 | $14.80 | $47.13 |
| DCF · EBITDA exit · 10y | cross check | $33.78 | $21.36 | $50.61 |
| P/E · peers | cross check | $26.95 | $24.04 | $33.16 |
| P/E · own history | cross check | $27.17 | $22.10 | $30.12 |
| PEG | sanity check | $50.81 | $50.81 | $50.81 |
| EV/EBITDA · peers | cross check | $20.29 | $9.64 | $31.90 |
| EV/Revenue · peers | cross check | $38.35 | $28.05 | $45.78 |
| Earnings power value | cross check | $31.45 | $25.76 | $39.58 |
| Dividend discount | cross check | $21.67 | $15.55 | $32.83 |

## Insider activity (SEC Form 4)

Past 90 days: 0 open-market buys ($0) and 5 open-market sales ($2.5M); 10b5-1 plan sales included.

| Date | Insider | Relationship | Transaction | Shares | Value |
| --- | --- | --- | --- | ---: | ---: |
| Oct 2, 2026 | McQuarrie David P. | Chief Commercial Officer | Open-market sell (10b5-1 plan) | 31,572 | $1.0M |
| Aug 31, 2026 | Francisco Ma. Fatima | Director | Bona fide gift | 12,176 | $0 |
| Aug 31, 2026 | Francisco Ma. Fatima | Director | Bona fide gift | 12,176 | $0 |
| Sep 1, 2026 | Francisco Ma. Fatima | Director | Bona fide gift | 12,176 | $0 |
| Sep 1, 2026 | Francisco Ma. Fatima | Director | Bona fide gift | 12,176 | $0 |

## Recent SEC filings

| Filed | Form | What | Filing |
| --- | --- | --- | --- |
| Sep 21, 2026 | 8-K | 7.01 Regulation FD Disclosure; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/47217/000114036126037170/ef20082499_form8k.htm |
| Aug 27, 2026 | S-8 | Employee stock plan registration | https://www.sec.gov/Archives/edgar/data/47217/000114036126034512/ef20081126_s8.htm |
| Aug 27, 2026 | 10-Q | Quarterly report | https://www.sec.gov/Archives/edgar/data/47217/000004721726000051/hpq-20260731.htm |
| Aug 26, 2026 | 8-K | 2.02 Results of Operations (Earnings); 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/47217/000004721726000048/hpq-20260826.htm |
| Jun 26, 2026 | 8-K | 5.03 Amendment to Articles/Bylaws; 9.01 Financial Statements and Exhibits | https://www.sec.gov/Archives/edgar/data/47217/000004721726000041/hpq-20260624.htm |

## Superinvestors holding it (latest 13F)

| Manager | Quarter | Shares | Value |
| --- | --- | ---: | ---: |
| Dodge & Cox | 2026-06-30 | 42,627,828 | $935.3M |
| Bridgewater | 2026-06-30 | 164,316 | $3.6M |
| Francis Chou | 2026-06-30 | 26,500 | $581,410 |

3 tracked managers in all.

## About

HP Inc. is a global technology company specializing in personal computing devices, imaging and printing solutions, and a variety of related technologies, software, and support services, serving clients both in the United States and worldwide. Its operations are structured into three main divisions: Personal Systems, Printing, and Corporate Investments. The Personal Systems segment offers a broad array of computing hardware, including desktop and laptop personal computers for both business and individual consumers, along with specialized workstations, thin clients, commercial mobile devices, retail point-of-sale systems, displays, and various peripherals. This division also encompasses essential software, support, and associated services. The Printing division focuses on delivering printer hardware for both general consumers and commercial clients, alongside a full suite of supplies, comp…

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Source: https://sweetvaluelab.com/stocks/hpq (SweetValueLab, free, no account). Prices and statements from Financial Modeling Prep; filings from SEC EDGAR. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.