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Yahoo
23-05-2025
- Business
- Yahoo
HPQ Gears Up to Report Q2 Earnings: What's in Store for the Stock?
HP Inc. HPQ is set to release its second-quarter fiscal 2025 results on May 28, after the market closes. The Zacks Consensus Estimate for revenues is pegged at $13.36 billion, suggesting an improvement of 4.3% from the prior-year quarter. HP expects non-GAAP earnings per share between 75 cents and 85 cents (midpoint 80 cents) for the second quarter of fiscal 2025. The Zacks Consensus Estimate for earnings has remained unchanged at 80 cents over the past 60 days and indicates a decline of 2.4% from the year-ago quarter's EPS of 82 cents. In the trailing four quarters, HPQ's earnings surpassed the Zacks Consensus Estimate once and missed on three occasions, with an average negative surprise being 1.16%. (Find the latest earnings estimates and surprises on Zacks Earnings Calendar.) Let's see how things are shaping up for this announcement. HP Inc. price-eps-surprise | HP Inc. Quote HP's overall second-quarter fiscal 2025 performance is likely to have been driven by its strong momentum across the Personal Systems, slightly offset by softness in the Printing division. Strength in the AI PC category, on the back of modern technological innovations and seamless customer experiences, is likely to have boosted the top-line growth for the second quarter of fiscal 2025. The Zacks Consensus Estimate for the Personal Systems segment's second-quarter sales is pegged at $9.19 billion, reflecting year-over-year growth of 9%. HPQ's latest introduction of AI-based computing devices like the HP OmniBook Ultra Flip 14-inch Next-Gen AI PC, HP EliteBook X 14-inch Next-Gen AI PC, Z by HP Gen AI Lab, HP OmniBook X AI PC, HP EliteBook Ultra AI PC, HP OmniBook Ultra laptop and HP OmniStudio PC is likely to have gained traction among consumers, driving its top-line growth. Growing adoption of gaming experiences by customers is likely to have aided the second-quarter performance. The latest gaming gears, including OMEN MAX 16 Gaming Laptop, OMEN 32x Smart Gaming Monitor, HyperX Pulsefire Saga Pro Wireless Gaming Mouse, HyperX Pulsefire Saga Gaming Mouse and OMEN AI, are likely to have boosted HPQ's gaming sales, contributing to the top line in the to-be-reported quarter. However, macroeconomic challenges like still-high interest rates and protracted inflationary conditions are expected to have negatively impacted the demand for HPQ's consumer PCs. Furthermore, enterprises are postponing their large IT spending plans due to the weakening global economy amid ongoing macroeconomic and geopolitical issues. This might have hurt HP's commercial PC sales in the to-be-reported quarter. HP's Printing division's sales are likely to have been affected by softened consumer demand in China and an aggressive pricing environment, partially offset by growth in big tank printers. The Zacks Consensus Estimate for the Printing division's second-quarter sales is pegged at $4.24 billion, reflecting a year-over-year decline of 3%. Our proven model does not conclusively predict an earnings beat for HP this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. Though HPQ carries a Zacks Rank #3 at present, it has an Earnings ESP of -1.25%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter. Per our model, Dell Technologies DELL, Nutanix NTNX and Salesforce CRM have the right combination of elements to post an earnings beat in their upcoming releases. Dell Technologies is set to report first-quarter fiscal 2026 results on May 29. It has an Earnings ESP of +5.02% and carries a Zacks Rank of 3 at present. You can see the complete list of today's Zacks #1 Rank stocks here. The Zacks Consensus Estimate for Dell Technologies' first-quarter earnings has been revised upward by 2 cents to $1.70 per share, indicating a year-over-year increase of 33.7%. DELL shares have tanked 30.1% over the past year. Nutanix is set to report third-quarter fiscal 2025 results on May 28. It has an Earnings ESP of +5.26% and carries a Zacks Rank #3 at present. The Zacks Consensus Estimate for Nutanix's third-quarter earnings is pegged at 38 cents per share, unchanged over the past 60 days, indicating an increase of 35.7% from the year-ago quarter's reported figure. Shares of NTNX have gained 9.6% over the past year. Salesforce is scheduled to report first-quarter fiscal 2026 on May 28. It has an Earnings ESP of +0.76% and a Zacks Rank #3 at present. The Zacks Consensus Estimate for Salesforce's first-quarter earnings per share has remained unchanged at $2.54 over the past 60 days, indicating a year-over-year increase of 4.1%. Shares of CRM have risen 4% over the past year. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report HP Inc. (HPQ) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report Dell Technologies Inc. (DELL) : Free Stock Analysis Report Nutanix (NTNX) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio


Saudi Gazette
29-01-2025
- Business
- Saudi Gazette
HP is redefining the Future of Work with AI
Fadle Saad, MD at HP Saudi Arabia, speaks with Saudi Gazette about HP's commitment to creating a more fulfilling Future of Work by empowering people to love what they do through innovative technology that delivers advanced capabilities, harnesses AI's potential, and enables individuals to make a meaningful impact while driving progress and purpose in their work. 1. How does AI contribute to improving the user experience in office products? At HP, we recognize that the technology people depend on can either limit their potential or propel them forward. With advancements in Generative AI, expectations for technology have evolved and people now seek tools that help them work faster, think more creatively, and connect more meaningfully, all while being seamlessly tailored to their unique work experiences. With AI-driven advancements and trusted security measures, our latest devices are set to unleash unprecedented productivity, creating possibilities for the present and future of "Poly Camera Pro" suite of tools, for example, built into HP AI PCs, seamlessly integrates with all major communications apps to improve the quality of virtual meetings by adjusting background lighting and minimizing noise, creating a more productive and professional meeting environment. These technologies reflect HP's commitment to providing AI-powered tools that empower individuals to show up as the best version of themselves and meet modern work requirements. 2. What advantages does HP offer in its AI-powered solutions for users? HP is dedicated to developing technology that meets the needs of every worker. By empowering individuals to leverage AI's potential and enabling them to create meaningful impact anywhere, HP delivers solutions designed to inspire and drive progress. HP's latest innovations include a range of AI solutions that boost user efficiency and productivity. For instance, the "AI Companion"[i] available on HP's next-gen AI PCs HP OmniBook Ultra Flip and HP EliteBook X optimizes file management, content analysis, and automatically adjusts computer settings, fostering a more intuitive and efficient user experience. Technologies like "Poly Studio Video Bars" and "Poly NoiseBlockAI" improve meeting quality and reduce noise, ensuring effective communication and seamless team collaboration. 3. How does HP's product design contribute to improving AI effectiveness and enhancing the daily user experience? HP is redefining the way we work and play with a comprehensive range of AI-powered solutions, including industry-leading commercial and workstation AI PCs, advanced peripherals, innovative consumer desktops, and the first next-gen AI all-in-one. Product design plays a pivotal role in enhancing AI effectiveness by integrating innovative technologies like intelligent cameras and built-in noise reduction. For example, the HP EliteBook X combines high performance and advanced security, enabling users to maximize the benefits of AI within an eco-friendly design that enhances the daily user new HP Series 5 Pro, commercial display series, offers up to 100W of charging through a USB-C port, simplifying device connection and charging with a single cable. These displays immerse users in their work environment thanks to AI-based noise reduction technology and feature a tiltable 5-megapixel Poly Studio webcam that secures the device with auto-lock and proximity wake, enhancing security and minimizing distractions. In the printing realm, HP's AI-powered product design highlights ease of use and productivity through the "HP Print AI" feature, which simplifies the printing process and eliminates setup challenges and support. The "Perfect Output" feature offers a seamless printing experience, removing unnecessary elements like white spaces and ads, saving time and resources, and enabling the creation of well-organized documents and tables without page breaks. 4. What challenges new users might face when using these technologies? While new users may experience a learning curve when adapting to new processes and settings, HP solutions are designed to make this transition smooth and easy. With user-centric tools like "Poly Labs" and "Poly Lens Premium," users can easily explore new features, while IT administrators benefit from robust support to streamline system management. These solutions simplify the AI integration process, ensuring a smooth and efficient user experience. 5. How can the effectiveness of AI solutions be evaluated from the user's perspective? The effectiveness of AI solutions will be measured in how it changes the day-to-day realities of work for users. At HP, we envision a future where AI redefines productivity, personalization, and fulfilment in the workplace. This future is about bridging the gap between business growth and employee satisfaction by leveraging AI to reshape the employee experience. HP's Work Relationship Index, a survey of 15,600 IT industry workers across 12 countries, shows a pressing need to improve how employees engage with their work. Only 28% of knowledge workers currently report a healthy relationship with work, underscoring the need for better tools and technology. HP aims to address this with AI-driven solutions that adapt to individual needs. HP's Work Relationship Index also found that more than half of the respondents believe that AI technology will provide a better work environment – a sign of optimism for the positive impact of AI in the Future of Work. As businesses increasingly embrace AI, decision-makers need a trusted partner to navigate this transformative technology landscape. HP is excited to participate in LEAP 2025, where the company will showcase its expertise in an AI-first world. Business leaders are invited to meet HP experts at booth D20, located in Hall 3 of the Riyadh Exhibition and Convention Center, from February 9 to 12, 2025.