HP Sees Unusually High Options Volume (NYSE:HPQ)

Key Points

• HP saw unusually high bearish options activity: Traders purchased 44,633 put options, about 30% above the typical daily volume of 34,273.
• Shares climbed to $35.43 and are near their 12-month high of $36.22. HP recently beat quarterly earnings and revenue expectations, reporting $0.83 EPS and $15.68 billion in revenue.
• Analysts hold a consensus “Hold” rating with an average price target of $25.77, while HP declared a quarterly dividend of $0.30 per share, yielding approximately 3.4% annually.

HP Inc. (NYSE:HPQ - Get Free Report) was the recipient of unusually large options trading on Friday. Traders purchased 44,633 put options on the stock. This is an increase of approximately 30% compared to the typical daily volume of 34,273 put options.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on the stock. Bank of America reaffirmed an "underperform" rating on shares of HP in a research note on Thursday, August 27th. Citigroup upped their price target on HP from $20.00 to $25.00 and gave the company a "neutral" rating in a research note on Thursday, May 28th. Sanford C. Bernstein reissued a "market perform" rating and set a $32.00 price objective on shares of HP in a research note on Thursday, August 27th. JPMorgan Chase & Co. boosted their price objective on shares of HP from $22.00 to $26.00 and gave the company a "neutral" rating in a report on Thursday, May 28th. Finally, Royal Bank Of Canada assumed coverage on shares of HP in a report on Thursday. They issued a "sector perform" rating and a $33.00 price target for the company. Three analysts have rated the stock with a Strong Buy rating, eight have given a Hold rating and five have assigned a Sell rating to the company. According to MarketBeat, HP currently has an average rating of "Hold" and a consensus price target of $25.77.

Insider Buying and Selling

In other news, insider David McQuarrie sold 21,048 shares of the business's stock in a transaction on Friday, August 7th. The stock was sold at an average price of $29.98, for a total transaction of $631,019.04. Following the completion of the sale, the insider owned 39,580 shares in the company, valued at $1,186,608.40. The trade was a 34.72% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 42,096 shares of company stock valued at $1,218,890. 0.18% of the stock is currently owned by company insiders.

Institutional Trading of HP

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. SHP Wealth Management acquired a new position in HP in the fourth quarter valued at $26,000. Union Savings Bank bought a new stake in shares of HP in the 4th quarter valued at $28,000. Aberdeen Wealth Management LLC acquired a new position in shares of HP during the 2nd quarter valued at $29,000. MCF Advisors LLC increased its stake in HP by 149.0% in the second quarter. MCF Advisors LLC now owns 1,337 shares of the computer maker's stock valued at $29,000 after purchasing an additional 800 shares in the last quarter. Finally, DV Equities LLC bought a new position in shares of HP during the 4th quarter worth about $29,000. Institutional investors own 77.53% of the company's stock.

HP Stock Performance

NYSE:HPQ traded up $2.70 during mid-day trading on Friday, hitting $35.43. The stock had a trading volume of 19,207,783 shares, compared to its average volume of 18,300,533. HP has a twelve month low of $17.56 and a twelve month high of $36.22. The stock has a market cap of $31.95 billion, a price-to-earnings ratio of 13.53, a PEG ratio of 1.68 and a beta of 1.18. The company's 50 day simple moving average is $28.02 and its 200 day simple moving average is $23.60.

HP (NYSE:HPQ - Get Free Report) last announced its earnings results on Wednesday, August 26th. The computer maker reported $0.83 EPS for the quarter, topping the consensus estimate of $0.66 by $0.17. The business had revenue of $15.68 billion during the quarter, compared to the consensus estimate of $14.44 billion. HP had a net margin of 4.14% and a negative return on equity of 947.78%. HP's revenue was up 12.5% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $0.75 EPS. HP has set its FY 2026 guidance at 3.190-3.290 EPS and its Q4 2026 guidance at 0.690-0.790 EPS. As a group, equities analysts forecast that HP will post 3.23 earnings per share for the current year.

HP Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 7th. Investors of record on Wednesday, September 9th will be given a dividend of $0.30 per share. This represents a $1.20 dividend on an annualized basis and a yield of 3.4%. The ex-dividend date is Wednesday, September 9th. HP's dividend payout ratio is currently 45.80%.

HP Company Profile

HP Inc is a global technology company that develops and sells personal computing and printing products and related services. Its Personal Systems business offers laptops, desktop computers, workstations, gaming PCs, monitors, peripherals and accessories for consumers, businesses and public-sector organizations.

Through its Printing business, HP provides home and office printers, commercial printing systems, supplies such as ink and toner, and managed print services. The company also offers software and solutions designed to support device management, security, productivity and digital workflows.

HP serves customers in markets around the world through direct sales, online channels, retailers, distributors and business partners.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.