Stock fact sheet · data as of
HP Inc. (HPQ): fair value, margin of safety and Wheel Score
Ticker symbol HPQ · Technology · Computer Hardware · United States · Value Income
Is HPQ undervalued?
At 29.93 (close of 5 Nov 2026), HPQ trades 42% below the GLS average fair value of 51.88. That average comes from 8 models run on the latest filings, and 5 of them land above the current price. Margins of safety over 30% are the exception rather than the rule across the ~7,400 stocks we value each night, so the number earns HP Inc. the full Value points in the Wheel Score - and a closer look at what the market is pricing in.
There is a wide gap between GLS Growth (16.08) and 10 Cap (97.11). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
Ranked against every other company we cover, HPQ is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 67, growth score 34, out of 100). It also carries the Income tag (Income = a dividend yield of 4% or more).
Nine valuation models for HPQ
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 35.64 | +19% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | - | - | The most a defensive investor pays for the earnings and book value per share; no value tonight |
| Graham Growth | 92.38 | +209% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 35.91 | +20% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 16.08 | -46% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 97.11 | +224% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 90.63 | +203% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 17.66 | -41% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 29.63 | -1% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -21.80 | -173% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 25.75 | -14% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
HP Inc. scores 7 of 9 on the Piotroski F-score, the nine yes/no tests of profitability, leverage and efficiency on the latest annual accounts - a strong reading that passes the "Piotroski 6 or more" Wheel Trade Filter with room to spare. On durability HPQ scores 7.3/10 on the GLS Moat - a middle reading; the Moat Score tab on the Quote page's Financials view shows which of the four parts hold it back.
Returns on capital are high - ROIC 24.0%, ROE -730.9%, ROA 6.1% - with debt at -31.45 times equity and a free-cash-flow yield of 14.4%.
The dividend yield is high at 4.01% (payout ratio 45%). A yield this size is often the market's way of pricing a risk to the payout, so the health score and cash flow matter more than usual. Revenue comes mainly from Personal Systems Group 75%, Printing 25% (quarter Q3 FY2026).
Institutional ownership scores 10/10, insider activity 2/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 7 / 9 | ROIC | 24.0% |
|---|---|---|---|
| GLS Moat | 7.3 / 10 | ROE | -730.9% |
| Debt / equity | -31.45 | ROA | 6.1% |
| Free-cash-flow yield | 14.4% | Payout ratio | 45% |
| Institutions | 10 / 10 | Insiders · Congress | 2 · 5 / 10 |
Wheel Score 91: Prime
With a Wheel Score of 91, HP Inc. sits in the Prime band. It passes every Wheel Trade Filter - busy options, a real business, below fair value, healthy accounts, debt it can repay, no serious red flags, a premium worth selling, enough size and price - and ranks near the top on the parts: value strong, premium strong, moat good, health good, red flags strong, option trading strong, stability good. A high score is a ranking, not a signal: it says nothing about timing, the earnings date or your position size.
Implied volatility is 62% on the near-the-money contracts 20-60 days out - above the 60% top of the sweet spot. It still passes the 25-80% filter, but the Wheel Score rewards it less because volatility this high usually comes with a reason. The option chain is deep: 248,837 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 18.7M shares a day on a market cap of $27.0B, with a beta of 1.19; the Stability part of the Wheel Score rates that good.
| Filter | Wheel Trade Filter | Result | Detail |
|---|---|---|---|
| 1 | Options that actually trade | Passes | Listed options with 1,000+ contracts of open interest and 100+ traded a day |
| 2 | A real business, not a gamble | Passes | Profitable over the last twelve months - not a speculative stock, fund or note |
| 3 | Below fair value | Passes | Trading below the nine-model average fair value (margin of safety above 0) |
| 4 | Financially healthy | Passes | Piotroski F-score 6 or more out of 9 (a company with no score on file passes) |
| 5 | Can repay its debt | Passes | Long-term debt repaid from 3 years of operating cash flow or less (6 for real estate and utilities; banks and insurers are not judged on it) |
| 6 | No serious red flags | Passes | Red Flags score 60 or more out of 100 (earnings, margins, debt, analysts, filings and price checked the same way for every stock) |
| 7 | A premium worth selling | Passes | Implied volatility 25-80% (enough premium, not a lottery ticket) |
| 8 | Big enough | Passes | Market cap $1 billion or more |
| 9 | Not a penny stock | Passes | Share price $5 or more |
| How it ranks | Rating | From | |
|---|---|---|---|
| Value | Strong | 42% below fair value | |
| Premium | Strong | implied volatility 62% | |
| Moat | Good | moat 7.3/10 | |
| Health | Good | Piotroski 7/9 | |
| Red Flags | Strong | Red Flags score 95/100 | |
| Option trading | Strong | 20,386 contracts a day, 248,837 open interest | |
| Stability | Good | beta 1.19, $27.0B company |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 24 Nov 2026 (after the close), 19 days away; a 30-45-day put sold today would expire after it, which is worth weighing against the premium.
No analyst upgrades or downgrades were recorded in the last 30 days.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Computer Hardware
The 12 companies below are the closest to HP Inc. by market cap within the Computer Hardware industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| NTAP NetApp, Inc. | 187.67 | 122.18 | -54% | 45Weak | $36.9B |
| P Everpure, Inc. | 111.77 | 14.71 | -660% | 34Weak | $37.2B |
| SMCI Super Micro Computer, Inc. | 29.60 | 131.21 | +77% | 47Weak | $19.4B |
| LOGI Logitech International S.A. | 100.12 | 107.70 | +7% | 76Good | $14.2B |
| IONQ IonQ, Inc. | 29.54 | - | - | 25Weak | $12.7B |
| HPE Hewlett Packard Enterprise Company | 50.07 | 33.81 | -48% | 39Weak | $66.5B |
| QNT Quantinuum Inc. Class A Common Stock | 32.75 | 11.95 | -174% | 25Weak | $8.6B |
| WDC Western Digital Corporation | 323.83 | 570.12 | +43% | 81Good | $121.2B |
| STX Seagate Technology Holdings plc | 557.06 | 487.86 | -14% | 41Weak | $127.9B |
| SNDK Sandisk Corporation | 1,037.40 | 2,827.96 | +63% | 50Fair | $147.6B |
| QBTS D-Wave Quantum Inc. | 10.38 | 0.0697 | -14793% | 20Weak | $3.9B |
| RGTI Rigetti Computing, Inc. | 11.21 | - | - | 25Weak | $3.7B |
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A free GLS Equity account gets you nightly fair value and the Wheel Score on ~7,400 US stocks, a watchlist, the scanner preview and the Sunday Scan - the top 10 stocks that pass all 9 Wheel Trade Filters, emailed every week. Pro adds the full put and call scanners, unlimited watchlists with alerts and the trade journal.
Start free See the Sunday ScanQuestions about HPQ
Is HPQ undervalued right now?
By the GLS models, yes: at 29.93 the stock is 42% below the average fair value of 51.88 (data as of 5 Nov 2026). Whether the discount is deserved is the question to research next.
What is the Wheel Score of HPQ and what does it mean?
HPQ scores 91 out of 100 (Prime). The Wheel Score ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned - in two parts: the 9 pass/fail Wheel Trade Filters (busy options, a real business, below fair value, Piotroski 6 or more, debt it can repay, a Red Flags score of 60 or more, implied volatility of 25-80%, a $1 billion company, $5 a share) and a ranking of how strongly a stock passes on value, premium, moat, health, red flags, option trading and stability. A stock that fails any filter stays under 70; 70-84 is Good, 85 and above is Prime. The Sunday Scan is the top 10 that pass, sorted by Wheel Score.
What is the GLS fair value for HPQ?
51.88 per share as of 5 Nov 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does HP Inc. report earnings next?
The next earnings report is due on 24 Nov 2026 (after the close), 19 days from the data date of 5 Nov 2026. The Calendars page lists every upcoming report with its time of day.
Does HPQ have listed options, and how liquid are they?
Yes. The nightly snapshot found 414 listed contracts with 248,837 open interest across all expiries and implied volatility of 62% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.