Portfolio Grader currently ranks Hewlett Packard Inc (NYSE:HPQ) a Buy. With exclusive fundamental and quantitative algorithmic, this analytical tool researches nearly 5,000 stocks weekly. HPQ has maintained this ranking for 11 months. The Buy recommendation for Hewlett Packard Inc resulted from a process of analysis that is proprietary which yielded outcomes that were above average in 5 area: an economic sector rated above average in attractiveness, an industry group rated above average in attractiveness, a ranking in the company's sector that is in the top quarter, ranking in its industry group that is in the top quarter, and a numerical calculation of risk/reward that is attractive; and produced below average conclusions in 1 areas: analytical scores that are near average.
HPQ is one of 9 companies within the Computer Processing Hardware GICS industry group, which is in turn part of the 374 company GICS Electronic Technology sector. HPQ's market value is $37.1 billion which places it in the top quarter of its industry group Portfolio Grader's current ranking for HPQ puts it 1 within the 9 companies in this industry group.
The Electronic Technology sector is ranked number 3 among the 20 sectors in the Portfolio Grader universe putting it in the top quartile of all the GICS sectors. The Computer Processing Hardware industry group is ranked 15 among the 129 industry groups within the GICS sectors, placing it above-average in terms of the Proprietary Quantitative Score scoring system.
HPQ has achieved above-average scores in 3 of the 8 fundamental metrics used by Portfolio Grader and average or below-average grades in 5 of the areas used in the ranking of company stocks.
HPQ's operational scores are a source of strength with a ranking for sales growth, operating margin and earnings growth that are discernibly above average. Scores for visibility of earnings are worse than the industry norms for earnings revisions, earnings surprises, and earnings momentum. HPQ's scores for cash flow and return on equity are significantly worse than its industry group average. Based on these fundamental scores, Hewlett Packard places in the third quartile of the industry group.
Quantitatively, Portfolio Grader uses the Proprietary Quantitative Score to view HPQ's shares from the aspect of risk/reward. This unique scoring system assesses the relative value of the company's shares based on the recent $21.43 share price of the shares relative to its peers, the market and risk associated with its industry and sector groups. Using this risk/reward calculation, HPQ currently scores well above-average in its industry group compared to its peers.
The Proprietary Portfolio Grader stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results, with A being 'strong buy' and F being 'strong sell'. Explore the tool here.
Commentary provided by UpTick Data Technologies.