PEG Ratio
Updated 174h ago
Sector Performance
43th percentileHPQ
0.74x
Sector Median
0.94x
Sector Avg
3.03x
Deep Analysis
The PEG ratio divides the price-to-earnings (P/E) multiple by the company’s expected earnings growth rate; at 0.74x, HPQ trades below a value of 1.0x, which typically indicates the stock is undervalued relative to its growth prospects.
Compared to sector peers, HPQ’s PEG of 0.74x sits below the sector median of 0.97x and places it in the 42nd percentile among peers. The year-over-year change is not available, but the quarter-over-quarter trend shows a decline of -6.3%, from 0.79x to 0.74x. A low PEG ratio implies a potential value opportunity, but the recent decline suggests that either the earnings growth outlook has weakened or the stock price has fallen faster than earnings estimates are being reduced — both introduce risk. This metric supports the overall NEUTRAL verdict by indicating the stock is not overpriced, yet the negative quarterly trend tempers any strong bullish case.
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.
Who are HPQ's closest peers by PEG Ratio?
The closest peers by PEG Ratio include: NUE (0.06x), VLO (0.06x), NKE (0.05x), NCLH (0.05x), MKTX (0.05x).
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.
Master HPQ's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full HPQ research report →HPQ
0.74x
Sector Median
0.94x
Sector Avg
3.03x
How HPQ's PEG Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.