HPQNEUTRAL

HPQ PEG Ratio Analysis

0.87x

Higher than 50% of TECHNOLOGY sector peers

Updated 29h ago·SEC filings & market data

Key Takeaway

The PEG ratio compares a stock’s price-to-earnings multiple with its expected earnings growth rate, where a value below 1.0 often signals that growth is reasonably priced.

Sector Performance

50th percentile

HPQ

0.87x

Sector Median

0.87x

Sector Avg

4.34x

Prior Period

0.74x(Jul 2026)

↓ Declining
📊

Deep Analysis

The PEG ratio compares a stock’s price-to-earnings multiple with its expected earnings growth rate, where a value below 1.0 often signals that growth is reasonably priced.

At 0.87x, HPQ sits exactly at the sector median of 0.87x, placing it in the 50th percentile among TECHNOLOGY peers—neither cheap nor expensive relative to its group. The year-over-year change is N/A, so no annual trend is available; however, on a quarter-over-quarter basis the PEG has risen 17.6%, from 0.74x to the current 0.87x. The combination of a sub-1.0 level with a rising quarterly trend points to modest valuation support that is slowly fading as price or growth expectations adjust. This dynamic implies limited downside protection but no clear overvaluation, leaving the risk/reward balanced. Overall, the metric supports the NEUTRAL verdict, as HPQ trades in line with its sector and the slight quarterly increase has not pushed it into either extreme.

Frequently Asked Questions

What does the PEG Ratio tell investors about HPQ?

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

How is the PEG Ratio calculated?

PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.

How does HPQ's PEG Ratio compare to its sector?

HPQ's PEG Ratio of 0.87x compares to a TECHNOLOGY sector median of 0.87x, placing it in the 50th percentile.

Who are HPQ's closest peers by PEG Ratio?

The closest TECHNOLOGY peers by PEG Ratio include: TXN (0.79x), ORCL (0.76x), CSCO (1.05x), HPE (0.27x), QCOM (0.12x).

The Formula

P/E Ratio / EPS Growth Rate

Why It Matters

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

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HPQ

0.87x

Sector Median

0.87x

Sector Avg

4.34x

How HPQ's PEG Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.