Goldman Sachs Raises HP Forecast but Remains Cautious on the Stock

HP Inc. (NYSE:HPQ) is included among the 13 Best Dividend Stocks to Buy Under $25.

Goldman Sachs Raises HP Forecast but Remains Cautious on the Stock

On June 2, Goldman Sachs raised its price recommendation on HP Inc. (NYSE:HPQ) to $19 from $16. It reiterated a Sell rating following the company’s second-quarter earnings report. The firm said it remains cautious despite HP’s efforts to shift its product mix, raise prices, and take additional supply chain measures. According to the analyst, sharp increases in input costs and growing competition in the PC market could make it difficult for those actions to fully offset industry headwinds in the second half of fiscal 2026 and into fiscal 2027.

On May 28, BofA also increased its price goal on HPQ to $18 from $16. It maintained an Underperform rating on the shares. The firm noted that HP delivered better-than-expected fiscal second-quarter results but narrowed the upper end of its fiscal 2026 earnings per share guidance. It also left its free cash flow forecast unchanged at $2.8 billion to $3 billion.BofA said its continued Underperform rating reflects concerns about slower growth in PC unit sales, margin pressure from higher memory costs, and uncertainty surrounding the company’s leadership transition.

HP Inc. (NYSE:HPQ) provides devices, services, and subscription offerings across personal computing, printing, three-dimensional (3D) printing, hybrid work, gaming, and related technologies. The company also focuses on sustainable technology solutions for consumers and businesses.

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