HP Inc. (NYSE: HPQ) trades near $28 today, down about 15% from a year ago. Weak PC demand and slowing printing volumes have kept pressure on earnings, and analysts appear cautious about the outlook. While the stock looks inexpensive compared to peers, expectations for growth remain muted.
This article reviews where Wall Street expects HP could trade by 2027, based on consensus price targets, growth forecasts, and valuation models. These reflect analyst estimates, not TIKR’s own predictions.
Unlock our Free Report: 5 AI compounders that analysts believe are undervalued and could deliver years of outperformance with accelerating AI adoption (Sign up for TIKR, it’s free) >>>
Analyst Price Targets Suggest Limited Upside
HP trades at about $28/share today. The average analyst target is also close to $28/share, which points to little expected upside. Forecasts remain tight, showing a lack of conviction in either direction:
- High estimate: ~$30/share
- Low estimate: ~$25/share
- Median target: ~$28/share
- Ratings: Mostly Holds, with a mix of Buys and Sells
It looks like Wall Street views HP as fairly valued, with analysts not expecting large moves up or down. For investors, the narrow target range reflects uncertainty and suggests that stronger execution or a demand rebound would be required to push the stock materially higher. Without that, returns may remain capped around current levels.
See analysts’ growth forecasts and price targets for HP (It’s free!) >>>
HP: Growth Outlook and Valuation
The company’s fundamentals appear stable but far from exciting:
- Revenue growth projected at ~2% annually through 2027
- Operating margins expected to hold steady at around 7–8%
- Shares trade at ~8x forward earnings, cheaper than most large tech peers
- Based on analysts’ average estimates, TIKR’s Guided Valuation Model suggests ~$34/share by 2027
- That would imply ~20% upside, or about 9% annualized returns
These forecasts suggest that the current low valuation could provide some downside protection, but meaningful upside appears limited.
Unless PC demand improves or new initiatives gain traction, HP may remain more of a value and dividend play than a growth story.
Value stocks like HP in as little as 60 seconds with TIKR (It’s free) >>>
What’s Driving the Optimism?
HP still benefits from its large installed base of PCs and printers, which drives recurring supplies revenue. Cost controls have also helped offset softer hardware demand. On top of that, the company continues to return cash to shareholders through buybacks and a dividend yield near 4%, which provides steady support for total returns.
For bulls, the optimism is that HP can remain a consistent cash generator, even in a tough environment. If PC refresh cycles pick up or efficiency measures deliver stronger savings, the company may outperform modest expectations.
For investors, this means HP could appeal as a stable, income-oriented holding, even without significant growth.
Bear Case: Weak Growth and Competition
The challenges for HP remain significant. PC demand is cyclical and competitive, while the printing business continues to decline structurally. Analysts expect earnings per share to remain flat or even shrink slightly, and EBITDA growth also appears negative over the next few years.
Competition from lower-cost PC makers and ongoing pressure in printing could further erode profitability. For investors, the bear case is that HP’s already modest valuation may still be too high if revenue continues to slip.
In that scenario, the stock could trade closer to the low-$20s, eroding shareholder value despite dividends and buybacks.
Outlook for 2027: What Could HP Be Worth?
Based on analysts’ average estimates, TIKR’s Guided Valuation Model points to HP trading near $34/share by 2027. That would represent about a 20% gain from today’s price, or roughly 9% annualized returns.
This outcome assumes modest revenue growth, steady margins, and consistent capital returns. While that would be a decent result, it already reflects a stable base case.
For investors, the path to stronger upside likely requires better-than-expected PC demand or cost savings. Without that, returns may remain steady but unspectacular.
AI Compounders With Massive Upside That Wall Street Is Overlooking
Everyone wants to cash in on AI. But while the crowd chases the obvious names benefiting from AI like NVIDIA, AMD, or Taiwan Semiconductor, the real opportunity may lie on the AI application layer where a handful of compounders are quietly embedding AI into products people already use every day.
TIKR just released a new free report on 5 undervalued compounders that analysts believe could deliver years of outperformance as AI adoption accelerates.
Inside the report, you’ll find:
- Businesses already turning AI into revenue and earnings growth
- Stocks trading below fair value despite strong analyst forecasts
- Unique picks most investors haven’t even considered
If you want to catch the next wave of AI winners, this report is a must-read.
Click here to sign up for TIKR and get your free copy of TIKR’s 5 AI Compounders report today.
